I see no obstacles in using the name of a real college, so long as a few conditions are met.
You have to get other details right if it's a real place--the names of buildings, how long it takes to get around, what the dorms are like, classroom set-up, whatever details appear in the story. Even if you went there, unless it was recent things might have changed.
(Isn't that sad, how boring the research for an erotica story can be?)
It probably should not be a college which is run by a religious institution which considers homosexuality a sin. A public college or university seems okay, as does a private one with an acceptance of all sexual orientations.
There are, of course, some schools famous for their early all-inclusive nature, or for continuing to accept, in a social sense, the most 'outrageous' without judgment. (Our kids attended two such colleges.)
You can sidestep some work by redubbing the real place you have in mind, in such a way that those who are there at this moment would not necessarily recognize it with certainty. That frees you to bend the facts to suit your story if need be.
But if it helps to use the real place, it's quite possible you can.
Maryn, pleased to meet you