alt Hacker NewsZoning that reduces buildable footprint and/or height artificially increases demand for land. If the only way to build a home is to buy a 9000 sqft lot, then my demand for land is 9000 sqft. If you can build 18 homes on that same lot, my demand for land is 450 sqft.
Land definitely needs to be taxed, but not without the zoning changes first to allow more to be built on less.
Zoning is the hobby horse of property developers. They're endlessly frustrated by the way zoning prevents them from building the most profitable construction - no matter whether there is a good or a bad reason for it (sometimes it's good sometimes it's not).
This inspires a lobbying and public outreach effort to try and convince people that relaxing zoning rules will fix everything.
As with many corporate lobbied for campaigns, it may be a good idea in general (e.g. net neutrality) or it may not be but it's definitely never the panacea it's sold as by the well funded PR campaign.