I ran a development team for a while and was desperately unhappy because I really wanted to be doing that coding (I just didn't quite realise it at the start) and so ended up effectively working two jobs. But of course that doesn't mean it's bad for everyone.

FWIW, those people I know who've done management while also working from home generally seem to do well with being in an office part of the week and at home the rest; they get to trade off the benefits of being on-site with the benefits of being able to focus in quietude at least some of the time.