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And how could you enforce that -- sue the owners to force them to live on the land?

At least this way, all the owners are finally identified (at considerable cost to the plaintiff, I might add), and they are properly monetarily compensated for the land.

If the current owners really did want to live on the land, they are more than free to band together and bid on the parcel themselves in the auction -- especially the ones who didn't know about the land before.