Another town-gown idea to build demand

I write-advocate often getting local colleges to locate some of their functions such as student bookstores, art galleries, even certain departments, in the adjoining commercial district of the community. What about a dorm? Getting students in the town would increase street activity, aid commerce, etc. See "1st tower of downtown ASU dorm soon to open" from the Arizona Republic about a new dorm in downtown Tempe.

Now I know that there is always too much of a good thing and I am not talking about places that have plenty of demand on their own. But I see how a community like Ypsilanti, Michigan (next to Ann Arbor, and home of Eastern Michigan University) could maybe benefit from this. Some places, including EMU, have located campuses within downtowns, or the business school, etc., but I don't think that a lot of these programs have the kind of impact that is desired--if they focus on serving night-time students. Students going to school at night are very purpose driven, and go to and from campus mostly, without spending time lingering in the area on non-school activities or commerce.