For the longest time, this rumour has prevailed on the University of British Columbia campus and they said that that was why sororities are unhoused, (instead each had a meeting room (Panhellenic House is being rebuilt as we speak)).
I have yet to come across anything in print that says, "x no. of women living together is a brothel". At UBC, the cap was 40 women, but *my* reasoning that is more because of Fire Code Regulations...any more than 40 women in a room, and it could be difficult to evacuate in a timely manner, should a fire break out.
You might be able to find out for sure, by contacting your city's archivist or something like that.
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