The tenants did not freely enter into a contract. They are being "temporarily" housed there, with rent paid by the local government, as they were made homeless.

The tenants did not freely enter into a contract. They are being "temporarily" housed there, with rent paid by the local government, as they were made homeless. This is why they are being mistreated - they are stuck where they are with no bargaining power, and nobody has any incentive to make their life easy. The landlord will keep getting paid regardless.