Normally I'd say that's unfortunately how these things go. There isn't much they can do if they don't have the facilities. In order to stay in a place for two people, you'd probably have to buy out the second half. These schools are pretty much run like a business.

However, if they require you to live on campus, then they're dropping the ball. This is especially true if your condition is considered a disability. I'm not up to date on the laws but you -might- have a leg to stand on if you fought 'em.