Is this right?

My landlord just told me I have to move out coz my roommates plan on moving out. I said I do not wish to move out and I can find people to fill the rooms and be said no he isn’t comfortable with the people I’m going to bring.

Is it crazy to think this is weird? First off this isn’t students housing it’s an apartment and he is saying he needs only students. Im also thinking there could be racist undertones to this but I’m extending the benefit of doubt that it is not.

Any advice? Housing is very difficult to find in the city and I plan to stay after school so

Update: thank you everyone for all the advice. I am most grateful and I have sought out legal advice.