All perfect praise be to Allah, The Lord of the Worlds. I testify that there is none worthy of worship except Allah, and that Muhammad is His slave and Messenger.
It was narrated on the authority of ‘Abdullah ibn ‘Amr that a man who was born in Madeenah died there, and the Messenger of Allah offered the funeral prayer for him, and then said: “Would that he had died somewhere other than his birthplace.” People asked: “Why is that, O Messenger of Allah?” He said: “If a man dies somewhere other than the place where he was born, a space will be measured for him in Paradise (as big as the distance) from the place where he was born to the place where he died.” [Ahmad, An-Nasaa’i, Ibn Maajah, and Ibn Hibbaan; Al-Albaani: Hasan (sound), Ahmad Shaakir: Saheeh (authentic)]
As for the meaning of his statement, “a space will be measured for him in Paradise (as big as the distance) from the place where he was born to the place where he died,” As-Suyooti said: “At-Tayyibi said: ‘It means that His grave will be made wider with a space as large as the distance between his grave and birthplace, and a gate to Paradise will be open for him.’” [End of Quote]
Based on this interpretation, there is no contradiction between this Hadeeth and what was reported about the dominion given to an inhabitant of Paradise. The Hadeeth at hand is about widening his grave, and the other is about the ‘dominion’ given to him in Paradise.
Allah Knows best.