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What if there was no waiting list and everyone just got a flat for nowt? It'll be either classic council estates or cyberpunk Judge Dredd megablocks, but we're heading that way either way. I'd rather it be for free than cost me 60% of my wages every month if so. We could have it so single people are entitled to either their own flat in the megablock, or they can have a nice semi-detached with a garden if they're either a family or willing to cohabit.
We could leave the idea of property ownership alone so people can buy a bigger, nicer place out in the suburbs if they want to, I'd just make it illegal to rent property out. If you have a house you're not using you'd have to sell it. I'd relax property sales laws and taxes and all that so people can trade houses as easily and quickly as you can part-ex your car. I wouldn't envision it killing the property market altogether, just suppressing it to the point houses are a commodity again, instead of a lifetime investment.
Give everyone their 3.6km, but not literally as in "this is your patch, do as you wish." Make it more like the way a shareholder has a stake in a company, only the company is the country. The dividends on the company's profits are paid back to those shareholders, thus enabling the UBI. The businessman still has the incentive to seek profit and enterprise, because collectively, the more money they make, the more money everyone makes, and the more money everyone makes, the more money they make. The incentive is to co-operate, instead of compete.
Don't go being a smart arse telling me that can't work. Money is made up anyway. All we have to do is summon the collective belief we're constantly getting richer, and it will be so. The economy is just a shared delusion.