[TheSpiceIsLife]

No, because: when the land becomes expensive you just move somewhere else, as evidenced by your own statement.

Yes, because: there isn't an unlimited supply of land at the bottom of the gravity well.

But I'm willing it bet it's cheaper to irrigate the desert than grow food in multi-story buildings.

There's an intermittent push to put agriculture in nothern Australia, which is presently very sparsely populated.

[magduf]

Shipping produce from northern Australia to the Americas or Europe is going to mean you'll either have a bunch of spoiled produce, or produce that was picked far too early and has no taste or nutritional value. Are you planning to ship food by jet to deal with this?