We moved to our youngest’s college town because we wanted to downsize, could work remotely, and she needed us to be nearby, at least at first. It has worked out very well. She has lived in the dorm or in her own apartment all but one year due to Covid. She comes home for the weekend frequently, but she lives her own life, has a boyfriend, and is involved in lots of campus activities. I have never even been to either of her apartments!
We like it because we don’t have to travel far to move her in or attend athletic events, etc. Very convenient. As long as the kid is happy about the situation and the parents can give them the space they desire, I don’t see a problem.