> What are the practical consequences of this today

Infrastructure degradation. Think overpass collapses or metro rail lines being misaligned.

> what is being done to remedy this

Not enough. CDMX faces the issue of multiple political entities with varying power making management difficult.

A lot of the subsidence happens in informal settlements [0] due to a mixture of political populism (no one would dare demolish an informal settlement and piss off voters).

Beijing used to have a similar issue, but a mixture of hukou, mass evictions, and mass demolitions helped alleviate the issue.

[0] - https://penniur.upenn.edu/uploads/media/02_Gutierrez.pdf