A residential mental health centre at Calvary Hospital in Bruce will stay open until at least 2021, after plans to close it were cancelled due to concerns about lack of alternatives for residents.
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Mental Health Minster Shane Rattenbury on Wednesday revealed the government had decided to keep the 30-bed Brian Hennessy Residential Centre open for another four years.
The centre was slated for closure by 2018 in 2014, as the available spots for residents with mental health issues were expected to be replaced at the coming University of Canberra Public Hospital and the Dhulwa mental health unit.
It comes amid growing concerns about the territory's mental health system, with a raft of problems from a lack of capacity to meet demand to suicides and escapes from mental health facilities.
Mr Rattenbury said the decision followed an "market testing and options analysis" assessment of demand, which was completed in May this year.
He said that analysis found "gaps in the market for long-term supported accommodation" for mental health patients, and he had therefore deferred the closure for "up to four years".
"Plans are in progress for the transfer of some BHRC residents, some to University of Canberra Public Hospital where they'll be in rehabilitation programs, and some into suitable accommodation in the community, supported by community sector organisations," he said.
While he said the study found gaps in the market for such accommodation in the ACT, the government has not publicly released the full report in the six months or so since it was completed.
Mr Rattenbury said the health directorate was also working on planing for what the centre could be used for in the future, as well as a wider examination of Canberra's need for more supported accommodation options.
While the centre will remain open, a recent conditions report on the building found the centre was well-maintained, but up to $1.15 million worth of minor works was needed to improve it to residents.
The government allocated $500,000 in the 2017-18 budget for roof repairs, fire and alarm system upgrades, fencing and window shade improvements, but it is unclear how much will be allocated to the centre in the 2018-19 budget.
Mr Rattenbury's spokeswoman said his decision to keep it open was also, in part, responding to community feedback that is should stay open until replacement accommodation was "sourced".
She said the centre's team and ACT Health staff were working with residents and their families to "determine the type of suitable ongoing support" each resident needed.
