Thank you!
I’m not sure which version you’re currently using, but in version 0.5.3 we added the ability to demolish buildings and roads.
You can find a more detailed explanation here (the in-game tutorial hasn’t been updated yet to fully explain this feature).
https://karrot-fang.itch.io/clicky-islands/devlog/1145551/053-patch
Cheers and thanks for playing!