The inspection friction you are describing is real, and the core reason is that Section 8 inspections (Housing Choice Voucher program, run by the local housing authority) use HUD's Housing Quality Standards, a federal checklist that treats each unit as a self-contained dwelling. A room with a second lock on the door reads to an inspector as an attempt to subdivide a unit without a separate bathroom and egress, which fails the standard almost automatically. A kitchenette conversion raises the same flag: it implies a separate dwelling unit that was not permitted as one.
Student housing by-the-bed setups, where common areas are shared and individual rooms are leased separately, are structurally in conflict with HQS because HQS assumes one family or household per voucher, per unit. That is the wall you keep hitting.
Some landlords near campuses do hold voucher units, but they tend to keep those units physically separate from the by-the-bed student side, meaning a distinct entrance, a full kitchen, a single lease covering the whole unit. Mixing the models in the same building is not impossible, but it requires that the voucher side looks, from an inspection standpoint, like an ordinary apartment with no shared spaces and no modifications that suggest additional occupants beyond the voucher household.
The Decatur market also matters here specifically. Agnes Scott and Emory draw different voucher authority footprints, and DeKalb County Housing Authority has its own inspection rhythm. I would call them directly before going further, because local HQS interpretation varies more than people expect.
One thing worth knowing: the student housing strategy guide flags campus selection as increasingly decisive given enrollment trends, which is worth reading before you commit to a campus-adjacent acquisition for either model.
What does your current unit configuration look like physically? That would help narrow down whether a clean separation is even feasible.