Yes that is generally what you get down to: you can’t really own land free and clear in a populated area. You depend on the government in many ways to enforce property rights, as well provide services for that property and in return you have to pay for that.

It makes me uncomfortable too actually but I can’t see any alternative that does not get back to a similar spot or violence. In addition if we shifted to a land value tax, it would push taxes onto the very dense developed areas encouraging better use.