Because many people feel a connection with Seaside. It's a place where folks honeymooned, or had a first vacation with their children. People have a kinship with the place.
Personally, I think what they are doing, not only with the kiosks, but with the whole property, is borderline-criminal.
Well, for what it is worth, we had dinner at Rendevous tonight and it was expanded and better than ever. I was more upset to see Hurricanes Oyster Bar go than the see the little kiosks fall to be honest. But I think you nailed it, many people feel anything at Seaside is hallowed ground and will be sick to see some demolition.