The most important factors are going to be as follows:

  - Freedom to come and go at will
  - Security for personal possessions
  - Safety for all occupants
  - Affordable price with utilities
  - Permanent mailing address

Also, I think 250 sq.ft. per couple is the absolute minimum viable apartment space in the US market. Anything smaller will always be seen as transient housing, except for those committed to lifelong celibacy or those who are trained astronauts.

It may well be that renting your own coffin is psychologically better than borrowing someone else's couch, or camping out somewhere. But once you've been in it for a while, you're eventually going to want enough room to stretch out without banging into a wall.

If you reduce your maximum occupancy by a factor of 32 on the same floor area, you would probably increase duration of tenancy from days or weeks to years.