Maybe. It worked fairly well in Kenshi. I would think it would not only depend on how it's done but also why the player would want to do it. There's the obvious things, like why a player would want to have access to a closer blacksmith or healing center or alchemist so they could acquire the stuff they need in the area. The downside to that is that you have to accept that in the beginning of being in that area, they won't have access to that stuff or they'll get to spend a lot of time traveling. If you add something like weapon and armor repair, it would become fairly frustrating to stop what you're doing and travel across the land to an already established blacksmith to fix your gear.
