The utility of Land is based on its adjacency to other attention hubs, its ability to host applications, and also as an identity mechanism. Developers and other content creators will demand Land so that they can build on top of it and reach their target audience. Land parcels are distinguishable from each other, potentially trading at different prices on a secondary market due to differences in adjacencies and traffic.
Users are able to travel from land parcel to land parcel freely in an open-world that scales horizontally and vertically. While the land parcels seem quiet small on the map, they act as the portal to an entire experience through the use of instancing. For example: when you roam around in our open-world and decide to visit your neighbors villa, entering the villa will portal you to an entire experience which could be way bigger then it looks from the 'outside'. This is why the actual Land acts as an identity mechanism to showcase your experience.