I agree it might seem improbable, but I'm throwing it out there to highlight that all we assume we know is based on our observations, and if those observations are not as we assume them to be then what we know also should be called into question.
While I don't disagree with orthodoxy, neither do I restrict myself to consider it the only possibility.
As for space compressing due to extreme gravitational force, I agree that would be the case if the measurement of space was done in a straight line towards the centre of gravity. If we throw rotation into the picture, however, space could become more stretched the closer it gets to the centre of rotation and this could outweigh the compression due to gravity. Similar to spaghettification.