Chief Viraleo said this stretch of land comprises what he called the Global Harmonious City.
The chief also heads an organisation on Pentecost called the Melanesian Global Institute where students can study custom.
He has called on other chiefs to consider setting up towns and cities on their islands, to safeguard the principles of what he calls "self-determination in a truly sovereign state".
Chief Viraleo, who is on bail, was first arrested along with a group of his people for alleged criminal offences on Pentecost last year.