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Scale vs Class: The Real Dilemma in Building Student Housing

I was recently reading an article about co-living spaces offering jacuzzis and infinity pools. It made me pause. Not because they’re bad ideas—but because it triggered a question I’ve been sitting with for a long time:

What is the right way to build student housing that is both scalable and classy?

As founders, we often get pushed into binary choices.

Scale or class.

Mass or premium.

Basic or aspirational.

But student housing doesn’t fit neatly into any one bucket.

The Case for Scale (And It’s a Strong One)

Let’s be honest. India has a massive unmet demand for student housing. Most students today are : A safe place to stay, Clean washrooms, Decent food, Reliable electricity & water, Security for parents’ peace of mind

In Tier 2 and Tier 3 cities especially, the reality is harsh: Unorganised PGs, Poor hygiene, Zero accountability, no standardization

From this lens, focusing on scale feels not just logical but necessary. If you can standardise basics, control costs, and expand fast—you’re solving a real, urgent problem. And my friends who argue for this approach are absolutely right.

The Pull of Premium (But Not Super-Premium)

Yet, I’ve always believed in premium services.

Not luxury for the sake of Instagram.

Not infinity pools that 90% residents won’t use.

But premium in experience. Because students today are changing. They’ve grown up with: Better design, Better technology, Better expectations. A sense of dignity in how they live. That’s not extravagance—that’s respect. And when we strip student housing down to “just basics,” we risk building spaces that function, but don’t inspire.

Where the Dilemma Really Lies

The real tension isn’t between scale and class. It’s between costly vanity features and meaningful value.

Jacuzzi vs hygienic bathrooms.

Infinity pool vs strong community spaces.

Luxury vs longevity.

Most premium add-ons: Increase capex,  Reduce scalability, Attract a niche audience, Have poor long-term ROI. But good design, cleanliness, safety, and predictability? Those scale beautifully.

The Middle Path: Scalable Premium

Over time, I’ve come to believe that the right strategy lies in scalable premium, not extreme luxury or bare-minimum living. That means: Premium basics, not premium frills, Standardisation, not over-customisation, Classy feel, not flashy features

Things that feel premium but don’t break the business model: Well-designed rooms with smart storage, Clean, professionally managed washrooms, Secure entry systems, Bright common areas that encourage interaction. Consistent service quality across cities

This kind of premium is quiet.

It doesn’t shout.

But it lasts.

Building for Students and Parents

One important truth we often forget: Student housing has two customers. Students want comfort and independence. Parents want safety and trust.

Jacuzzis impress neither.

But,  CCTV coverage, Verified staff, Clean kitchens, transparent pricing, and professional management build confidence—and confidence scales.

My Personal Take as a Founder

I don’t believe student housing should be ultra-luxury. And I don’t believe it should be a compromise either. The future belongs to operators who can: Solve real problems, Deliver consistent quality, Grow without losing soul.

Scale gives impact.

Class gives differentiation.

The challenge—and the opportunity—is to build both, thoughtfully. Because in the end, great student housing isn’t about how fancy it looks on day one. It’s about how reliably it works, year after year, city after city.

And that, I believe, is the kind of premium worth scaling.

Diya

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