The 16 toroidal dimensions have a stringy radius because it has to be self-dual under T-duality,
$$ R \to \frac{\alpha'}{R}$$
This is needed for these 16 dimensions to be purely left-moving. A fast semi-heuristic way to see it is that the left-moving dimensions obey
$$\partial X = 0, \quad \partial_\sigma X = \partial_\tau X$$
If you integrate the latter form of the equation over $\sigma$, you will get
$$ \alpha' p = w$$
The 16-momentum is equal to the 16-winding for all the states, in string units. But the momentum and winding belong to lattices that are dual ("inversely proportional") to one another because the momentum spacing goes like $1/R$ while the winding is a multiple of $2\pi R$. So the allowed radius has to be $\sqrt{\alpha'}$ in certain conventions where the factors of $2,\pi$ are properly accounted for.