You've heard correct because the building is depreciating/deteriorating about as fast as it's nominal $ value is inflating, so it's about a wash and the nominal

You've heard correct because the building is depreciating/deteriorating about as fast as it's nominal $ value is inflating, so it's about a wash and the nominal $ stays flat long term. But the land is scarce and appreciates along with inflation AND productive use of housing. (peoples' same inflation-adjusted consumption of housing ends up using less and less land, like condos, and so the land appreciates even faster than inflation until population growth stalls.)