Beats living on the streets if that’s the only thing you can afford.
Like the article said, there’s fine hotels for some and some truly terrible ones for others. Still beats being homeless. Also, just because something isn’t perfect and has its flaws, doesn’t mean it’s not worthwhile.
WeLive/WeWork used to do this before the CEO fiasco. They operated a shared living space for working professionals. It wasn’t $231/mo but it was a great way for younger professionals to get their foot in the door living and working in the city.