Can you put a value on open space? Environmentalists would argue it is priceless because of the joy it gives to the community, but the market knows its worth.

According to chartered surveyor Ted Gauntlett, a plot of land zoned for six houses per acre in a good area would be worth around $1 million.

In a residential two zone, in a decent area where a maximum of two house per acre can be built, a buyer can expect to fork out $500,000 for the right to build one house.

With real estate commanding such exorbitant prices, few land-owners, no matter how environmentally-friendly, can resist the temptation to leave their land empty or growing vegetables.

And with demand out-stripping supply for all accommodation except at the luxury end, many parents feel the only chance their children will have to afford a home is to build on the family land.

So what can Government do to stop people building on their land or selling up to developers? Environment Minister Arthur Hodgson has set up the Open Spaces committee to look at ways of preserving undeveloped land.

Among the ideas being discussed are: paying compensation to landowners who don't develop their properties or who have lost the right to build because of new zoning; buying development rights from owners to preserve the space; and ordering developers to pay compensation to neighbouring landowners who have kept their land open.

Another key proposal, in the draft City of Hamilton plan, is to build higher and more densely in the capital to protect open land across the Island.

The Royal Gazette has learned that the draft plan includes provision to allow commercial buildings an extra floor to go higher than the current limit of 85 feet if they agree to include "significant'' residential accommodation in the development.

There is unanimous agreement that no one wants to see New York or Hong Kong-style skyscrapers -- and that is not an option in the new draft -- although planners are refusing to give details about how high the new buildings can go.

The highest point in the city is the Cathedral at 200 feet, but it is understood the new regulations will not see the city skyline rise to anywhere near that level.

Peter Adwick, the Planning Department's assistant director, forward planning, said: "There might be potential for increased height in the city provided it doesn't detract from the attractiveness of the city or aspect of the Cathedral and increased building height should be related to increased residential development.

"We are trying to restrict the amount of development in green space around the Island and protect open space, but we still need to allow for development and we're trying to encourage development into existing areas.

"In Hamilton, there are a number of vacant sites that could be developed for residential purposes. That would take the pressure off greenfield sites.'' The population of the city has fallen from just over 3,000 in the 1970's to 1,000 today, and the idea is to breath new life into Hamilton as a place to live.

Not only would this preserve open space, but it should cut down on car use and road congestion. Former Premier Sir John Swan sensed the new mood and has submitted plans for a 76 apartment complex from Victoria to Dundonald Street.

Corporation of Hamilton Secretary Roger Sherratt said: "I think we can still develop if we do it sensitively and carefully. We've got it just about right basically in terms of careful development, but we've reached a point where we have to be extra careful or we could tip the scales and lose the aesthetic appeal of the Island.

"It would be tragic if landmark buildings like the Cathedral could no longer be seen, so that should set us the boundaries in terms of height. I don't think anyone agrees we should have real high rise developments because of the problems they cause, including crime.'' The problem with conserving open space dates back to the way the Island has been divided historically since its inception, according to Government Conservation Officer David Wingate.

The Bermuda Company carved the Island into slim parcels running north to south to ensure sea access. Since then families have continued to endlessly sub-divide their land to provide homes for their children.

As a result, there are very few large open spaces, and achieving a consensus on what to do with a sizeable undeveloped piece of land can often involve a dozen different owners.

Major open spaces -- such as beach areas along the south shore in Southampton and Warwick -- have only been preserved because the Crown originally seized them for military exercises.

Government is committed to buying small patches of land to preserve for open space has developed local plans for Flatts Village, and is drawing up another for St. Monica's, Pembroke.

Government is also drawing up a comprehensive land register to identify who owns every strip of land in Bermuda.

Realtor Buddy Rego feels there is scope for further development which won't desolate the Island, provided the land is used properly.

He said: "No one wants to see concrete poured all over the Island and the quality of life reduced through over-building. We don't want to put a single family dwelling in a lot of land that is zoned for high density development.

"The Planning Department has a responsibility to see certain pieces of land are not under-utilised. There will be long-term problems if we run out of space and we have under-utilised land.

"Would the quality of life be compromised by the continued growth of the economy? Given the status quo, yes, but given proper planning it doesn't necessarily have to be.'' But Bermuda National Trust believes the open spaces crisis is so great, the time has come to question the fundamental right of people to develop their land.

Trust Environment Committee chair Edith Martin said: "The Trust would like to see increased discussion of compensation for landowners who are prohibited from developing their property.

"In having this discussion, however, there should be an awareness that the fundamental premise of compensation is that there is a right to develop land.

"It may well be that looking at these issues by assuming that there is a right to develop is no longer appropriate.

"At some point Bermuda has to recognise that being able to go for a walk in the woods is as important to a functioning society as being able to build.'' Tomorrow, Environment Minister Arthur Hodgson tackles the tough questions on population, preserving the Island's shrinking open space and the economy in his most wide-ranging interview yet on sustainable development.

POSSIBLE SOLUTIONS Compensating land owners who don't develop their land or cannot build because of new zoning restrictions; Buying development rights from land-owners; Making developers pay neighbouring landowners who keep their land open; Buying plots of land for open space: Compiling comprehensive land register; Drawing up local plans for across the Island.