You’d be stacking people on one another for sure. However the tight quarters then gives creedence to stuff like Cerritos and Voyager not having thick enough walls/doors to dampen sound. Then Enterprise-D is a whole different beast and it makes no sense for the opposite reason. It’s too damn big with not enough crew. You’d have people working in their own section never meeting another soul during their whole day.
But that brings me to something else (because I have severely unmedicated ADHD and I apologize). Picard Season 3 got rapped for having the Titans bridge be really dark all the time. The lighting of the whole ship was way darker. Surprisingly I actually liked that. It felt like they were on a submarine or some small contained vessel, just then against the harshness of what was outside. That submarine quality really should be used in more shows. I know TOS had random people walking around the corridors (like the famous example of a dude who was turning an invisible valve on a wall) but I like those tight spaces.
Oh and to prove the ADHD? The Crossfield class is 900m long. Roughly. I mean she’s 2/3rds nacelle but still.