Well here's the mysteries island cutting glitch again. EDIT: I don't need a refund, I'd just like to warn people about it.
This. It's the same reason why, someone next to your island reset theirs. You're likely seeing this because they left the server a while ago and they had their island removed from the database. When that happens, their slot becomes available for someone else to use. The old island that was there gets wiped (including any overlap from your island), and replaced with a brand new Skyblock. It's something we have to do, since we have over 720,000 members now. That equates to one huge world.
Occasionally islands are generated very close to each other but in most cases you can prevent this from happening by building within 49 blocks in any direction from your bedrock Hope you didn't lose anything important!