Of course, it depends on your definition of 'attractive'! University Ave in Palo Alto is abuzz at night with Stanford students, and there are many neighborhoods where tons of students rent. Stanford is definitely, directly or indirectly, one of the primary drivers of high property values. Stanford students and professors start high-tech companies, a certain portion of these hit it big (e.g. Google, Yahoo, HP in years past, perhaps Trulia in the next couple of years?), and the spinoff effect of the employees and the wealth generated spills over into real estate.