I remember there being an option in the build menu. It's kinda weird though. Like you have to act like you're going to place something then at the bottom it says to press a button to delete. IIRC you get a refund for the materials can't remember if it's half or full.
given that some searches turned up other issues related to the floating islands (namely, building a base on one turns the smaller islands around it intangible)…
i think you can delete, maybe its just buggy, sometimes the position of your character can help the camera to reach the places you want to build/demolish :P , you can try to restart the game too
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