If they are freehold or leasehold properties then there is no way that they would be compensated with a new-build property elsewhere built for that purpose. How would you ever reconcile the values satisfactorily? Why would everyone want to live in the same development when they could live anywhere? How would the club react if there were problems with the new development, and residents weren’t satisfied? There would just be a series of individual commercial agreements with each owner. What they each decide to do with the money would be up to them.
My understanding is that Tottenham bought around 70 business properties, but couldn’t reach agreement with the last hold-out business, and this is why a CPO was used. I don’t think there would be much appetite politically to CPO loads of residential properties, it would be massively complicated, and they will all be voters.