There seems to be a recent trend in horror movies that set the films in this 'upper middle class' paradise with swimming pools, big spacious homes, lots of technology. I'm getting pretty bored of that approach.
Predator works well in an environment that is a complete unknown for both the characters and the audience - that's why I think the first Predator's setting of a fictional country is so ingenious. It's both a familiar scenario and a foreign 'unknown' at the same time. Predator 2 deals with this too by including that weird Jamaican crime syndicate. It's so jarring that it actually makes Los Angeles seem less like the City of Angels and more like a mystic urban dystopia.
I really hope Shane Black can find a new location that invokes the same sense of mystery. These 'suburban' rumors had me worried, so I'm glad they got shot down.