I have actually been in the situation. We had a field behind our house which was sold off and eight houses were built. The nearest one installed a light just like the one described. If you felt so inclined you could have used the glare to make shadow puppets ..when the curtains were CLOSED...
They also flicked on in response to movement...on windy nights they reacted to leaves moving in the trees..
Being English I did not react like our Ozzie..I just muttered and gave myself dyspepsia..
Fortunately the lightshow started to wake the guys own kids and he got rid...0f the light that is. Not the kids.