They can't advertise the suite as a multi-room apartment if one of the bedrooms doesn't have a window. That would cause them to have to decrease their rental rate.
Regardless of outcome I think you should call the city. Those are the types of suites that give legitimate basement suites a bad name and could potentially lead to someones death. That's extremely rare but I wouldn't want to be the person that could have prevented an accident that lead to a death.
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