Reminds me of a problem I had in NYC back in 2019. There was one station in Manhattan and when I went in there my phone always though I was somewhere out in Brooklyn. Even with WiFi off. It only happened on Android no IOS. It was like this for a long time and I tried many times reporting it as an issue on Google maps. Confirmed the issue with many friends who used Android.
I don't know exactly how these things work but I always suspected that some WiFi AP got repaired and moved to a new location and was broadcasting an SSID that used to be somewhere else for a long time.
There's a separate "WiFi scanning" setting that's enabled even when WiFi is switched off. Same with Bluetooth. This passive scanning is quite power efficient, so in practice you probably wouldn't notice that the WiFi is still powered.
I've experience this when a company I worked for switched offices. As soon as I got into range of the WiFi access points, my phone got confused. I'm pretty sure it was the WiFi access points + the IP address of the work WiFi's IP address.
It takes a while for location services to heal themselves. I run a VPN server at home, so ever since I took my phone and tablet to Amsterdam for a day, Google associated my IP address with that city, probably because my phone and tablet got so many data points there. I've seen it happen before, but that'll switch back eventually too.
My old phone asked me for consent during an update, my new one during first boot. It can also be toggled afterwards[1]. Sadly, I suspect this means it’s legal even though most people don’t realize it’s on.
It was probably using mobile network base stations. These can sometimes span quite large physical areas underground.
Additionally I'd assume they're quite hard to automatically update: The crowdsourced updates these databases depend on only work when at least one device has both a GPS signal and can see a cell or Wi-Fi base station, which is obviously quite hard underground.
I don't know exactly how these things work but I always suspected that some WiFi AP got repaired and moved to a new location and was broadcasting an SSID that used to be somewhere else for a long time.
Or could it be caused by something else?