I'm not sure I agree. Where a player chooses to live is his private choice, and I don't think an employer can go down the route of forcing players to move to a house nearby. Players have families, most are of that age where they have young children or they have children in school, they have connections elsewhere just as most people here do. Secondly, as with professional football today, some players just won't work out at their club, or even if they do, they could be sold on a whim much to the benefit of the club. Players know this, there's very rarely a "long-term" decision made by player/club anymore so asking them to commit to a future that more than likely doesn't exist is unfair. Perhaps they'll get a 25 year mortgage and take the kids out of preferred school and move them away from their grandparents if the club reciprocates the commitment with an enhanced contract? Unlikely.
As long as they turn up for training and perform on the pitch then I really don't care the location of his house.