1. Same exact way you buy and sell land or houses (which includes land that they sit on). Transaction is registered with local government, and there are usually lawyers involved.
2. If island is “given” as a gift/prize, it usually means receiver owns it forever. If it is given for a time, it would be called leasing or renting.
3. Depends on local conditions, and definition of “habitable”.
If you just want to come camp on the island occasionally, you do not need to do anything.
If you plan to have somebody live there more or less permanently, local laws might require that you have a source of drinking water and a way to keep environment safe from pee and poop and trash. It could be a water tank and a porta-potty, or (on larger island) water well and septic tank. Building a house would require permits, and probably electricity (from generator, or solar panels plus battery)
PS regardless of “habitable” features, owner must pay land tax. It is a small % of land value, and value of a small empty island in the middle of nowhere will be small.
PPS If Mr. Beast is feeling generous, he could choose to pay for land tax and upkeep of the island.
If Mr. Beast is not generous, and owner does not have money to pay land tax, he can sell the island to somebody who can, or local government will take it from him.
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