That's overstating it IMO - The Room's production values are pretty adequate. The sets are OK, the sound's decently recorded, it has a proper soundtrack by a real composer, the camera's mostly in focus and properly exposed etc. There are plenty of shitty DSLR films with equally bizarre dialogue, terrible acting, flawed structure etc but the unique joy of The Room is that the decent-ish production values sucker you into thinking you're watching a "real" film.