Earlier quoted context omitted.
Something like this yes. But the devil will be in the details. "pay 1% of the buildings value as property tax each year" A old rotten building might be worth just 10000€. And 100 € a year ain't that much. One would have to tax the property - and who will set up the rates in a fair way in a process that is not vulnerable to corruption?
And old rotten building sitting anywhere in a city is worth way more than 10.000€. Even if the building is not in good shape, the land is still valuable.
I think Japan is one of the outliers where pretty much all property value is locked with the land itself, as buildings depreciate not appreciate.