With an ever growing student population coming from almost all parts of the country covering the entire 75 districts of Nepal, there was an increasing demand on the School management from the parent community to provide for a separate residential facility. Responding to this overwhelming demand and conscious of the reality, Gyanodaya felt it necessary to add a separate structure which would exclusively cater to the residential requirements of the students coming not only from outside the valley but also some of the Kathmanduites too.

Thus was established the Residential School exclusively catering to boarding education for children from the valley as well as outside. It has presently about 350 students studying from Grade I to X. It is located in its own premises at Bungamati, Khokana, about 12 km. on the outskirts of Kathmandu but easily accessible by road. It is situated in a land sprawling an area of over 100 ropanies surrounded by the lush green forested slopes of the Hatiban hills in the south west and verdant agricultural cultivation in the terraced slopes of the Bungamati hills in the north east. The School is equipped with all modern physical infrastructures --- playgrounds, multi-purpose auditorium, access to information technology, state-of-the-art audio-visual aids, science laboratory and a well-stocked library --- essential for academic growth and extra and co-curricular development of children in an environment conducive for learning. The School also houses a professional medicare team to attend to the regular as well as emergency health needs of the hostel inmates.