I think Democrats at the national level underestimate how much inner-city Democratic mayors, city councils, school boards, and district attorneys determine their image as a party. If suburban swing voters, when commuting into the city center to work, shop, go to a show, etc. see homeless encampments and vacant storefronts, it's going to hit the Democrats' image as a party that can run things. Republicans in city gove…
No, they don't. Whether they are actively fighting it, meekly bending to it, or crassly exploiting it for intra-party power games (and there are clear examples of all of those among nationally prominent Democrats), national Democrats understand very much how those things, and even more the right-wing media narratives around those things, drive opinion.
The internal dominance of the center-right faction of the party for the last 30 years has been built almost entirely on exploitation of this.