The present study aimed to analyze the needs and expectations of Generation Z regarding university sports using a qualitative approach and the grounded theory method (Glaserian approach). The statistical population consisted of 22 Generation Z students as direct stakeholders and 16 managers, coaches, and sports association officials as indirect stakeholders, who were selected through theoretical sampling. Data were collected through semi-structured interviews and analyzed using the stages of open, selective, and theoretical coding. To ensure validity, the findings and the proposed model were presented to the participants for feedback, and their comments were incorporated. Reliability was assessed through a test-retest method with a 15-day interval and recoding of four interviews, resulting in an overall reliability coefficient of 87%. Findings from the students' perspectives indicated that they value the quality and up-to-date accessibility of facilities, diversity and innovation in programs, flexibility, digital communication, a sense of security, and an emphasis on health rather than competition. On the other hand, indirect stakeholders emphasized constraints in budget and infrastructure, the need for active student participation, the necessity of adapting coaching methods, reducing bureaucracy, and justifying investment based on engagement levels. Finally, a model was proposed, according to which optimizing university sports requires balancing the expectations of the new generation with existing structural realities through digitalization, flexibility, student participation, and collaborative management. This transformation turns university sports into an engaging and effective experience in student life.