I agree with you about the location. Just pointing out that I would not trust the PL or FA bigwigs as far as I could throw them.
If the 'big X' (X means think of any number that is suitable at any time) foreign-owned clubs decided, for example, to set up a franchise league within Europe and it was decided that Liverpool would be the only club within Merseyside, I think the powers that be would wring their hands most pitifully and then look at the money that this league would bring the 'sport'. See Champions League plans, domestic cup competitions, World Cup allocation, transfer and youth regulations, etc.