Why You Don’t Wanna Live Vertically? A Perspective from Gen-Z in Surabaya Metropolitan Area, Indonesia

This study examines why Generation Z in Surabaya remains reluctant to live in vertical housing despite strong urbanization pressures and policy promotion. Using an explanatory sequential mixed-methods approach with 340 respondents aged 18–27, the research identifies six key factors influencing preferences: physical environment, psychological-social concerns, social status and stress, economic considerations, and cultural accommodation. Factor analysis explains 45.1% of total variance, while structural equation modeling reveals that physical environment preferences play a central mediating role. Economic factors affect psychological-social concerns both directly and indirectly, and cultural accommodation strongly shapes social status perceptions but does not directly influence physical preferences. Qualitative analysis of 411 statements shows consistently negative psychological themes, predominantly negative economic sentiments, and more balanced views of physical attributes. The findings extend housing preference theory by highlighting how cultural and economic influences shape psychological acceptance through indirect pathways, challenging traditional models that view choices as purely rational or discrete. The study recommends that planners and developers integrate culturally sensitive design, address financial anxieties through innovative ownership schemes, and tailor communication strategies to engage psychological and cultural concerns rather than relying solely on modern facility offerings.