Students in Swansea who have spent the year living on what they have dubbed a building site say the university has offered them £5 compensation each.
Hannah Quinn says the university's £5 offer is unreasonable
Those living in the Singleton Halls on the main campus claim they have had to put up with noise, dust, fumes and even earth tremors.
New accommodation is being built close by but first years say they were not warned about potential disruptions.
The Students' Union says the 600 students living there have been offered £3,000 in compensation between them.
Union welfare officer Hannah Quinn said the offer worked out at £5 each when students were paying £80 per week for a study bedroom.
The university has confirmed it made an offer of compensation which was rejected but has not revealed the figures involved.
But it disputes claims that students were not informed of the work which will see new halls of residence providing an extra 272 rooms.
Miss Quinn said students were now considering taking the university to court to try and get a reduction in the rent they have paid.
"The university is being unreasonable - students are paying full rent for living on a building site," she said.
"The university has a responsibility to these students but they are being treated as if their complaints are unjustified."
Ed Knight has been living in the halls all year and said the building work had caused him disruptions.
Ed Knight says disruption has continued during exam periods
"This year I've had the misfortune of living directly opposite one of the building sites," he said.
"Between 0730BST and 0800BST I get what I call my alarm call of lorries reversing.
"Even during the exam period it's been very noisy even though we've got the double glazing.
"I have to use voice recognition software to use my computer but there have been days when the noise has been so loud it has not been able to understand what I've been saying."
A statement issued by the university says students interested in living at the halls were informed of the proposed developments.
"Consultations with Students' Union representatives and representatives of the students affected have been held regularly throughout the year to address the concerns," it said.
"An offer of compensation has been made to the Students' Union which they have rejected."