I have been in there a few times over the years and never had a problem.
I have seen more homless folks at the other cheap dining options downtown than I have in there. The Fremont's new food hall has a cheap fast food resturant ($4.99 value meal) and an entrance directly on the street.
And White Castle attracts even a poorer demographic than McDonalds. So I am not really sure how these places are any different than McDonalds.
They will probably put another overpriced resturant with bad service and poorly prepared food like Bacon Nation in that space.
The D has some of the cheapest rooms downtown. The demographic that stays there isn't looking to spend $30 on brekfast at Bacon Nation. They are looking for McDonalds.