Hundreds face homelessness within weeks amid government funding stand-off

Darwin's largest homeless shelter is on track to close within weeks despite an offer from the Commonwealth to split the cost of buying the facility to keep it open. 

The imminent closure of the YiSSA centre has left more than 230 residents living there fearing the prospect of homelessness as early as next month.

They include 85 children, people undergoing renal dialysis and facing serious health problems, and families escaping domestic violence.

The facility's closure would also mean more than 300 people currently on a waitlist to live there would be left with nowhere to live.

What's happened so far?

Two months ago, the Northern Territory government announced YiSSA would close in October after its offer of $3 million for the buildings was rejected by the owner Ausco Modular, which is seeking $6.5 million.

In August, Federal Senator Malarndirri McCarthy wrote to NT Children and Families Minister Robyn Cahill offering to split the cost of purchasing YiSSA between the NT and federal governments to keep it open.

"I am prepared to consider a Commonwealth contribution of up to $3.5 million," she wrote.

However, negotiations appeared to reach a stalemate last week, with Ms Cahill criticising the terms of the federal government's proposal, and arguing the facility was ageing and not fit-for-purpose beyond another two to three years.

The conditions of the Commonwealth offer include allowing Yilli Rreung Housing Aboriginal Corporation to continue running YiSSA for at least another five years, taking on operational costs and remediating the site when it eventually closes.

Yesterday, Senator McCarthy criticised the NT government on social media over its refusal to negotiate, saying YiSSA residents "deserve answers".

She also questioned why the Territory government had not yet announced a transition plan or explained how it would meet the need for short-stay accommodation once YiSSA closed.

The ABC has contacted the NT government about whether it is continuing to negotiate a deal, but has not received a response.

The Territory government has repeatedly promised to find accommodation for all those living in the facility, but today many residents said they were fearing the worst and voiced concerns about being kept in the dark about where they would be going.

"We are worried. We are sad. We are thinking, 'What's our next movement? Where will we go?'" long-term YiSSA resident Rose Laynba said.

She said she was angered by the governments "arguing over money".

"Instead of arguing, just throw it in and pay for it, stop making excuses," she said.

"First Nation people here are struggling and they're arguing who's going to pay, who's going to buy it — it's just plain stupid.

"We are becoming refugees, refugees in our own backyard."

For fellow resident Christine Martin, YiSSA has been a lifeline, after she spent more than six months staying in hotels, unable to find a home in Darwin.

While she has been told she is on a list for a house, she said the lack of information had left her feeling uncertain.

"They're telling us not to worry, but it's like telling water not to be wet,"

she said.

"Maybe this place will close before I even get a place.

"There's a lot of people here that have nowhere to go … and they're going to have to be on the streets, because if they can't return [to their community] there's no other place."

She said with just a few weeks left until closure, people were increasingly feeling desperate.

"Most of the people I talk to, they're like, 'Where are you going?'" she said.

"We all don't know what's going on."

Grandmother Francis Gaykamangu said she was one of the lucky residents who had been offered a priority house to live in, but she said she was sad to be leaving her home.

Aboriginal services call on NT government to negotiate

A group of NT Aboriginal service providers, including the North Australian Aboriginal Justice Agency and Danila Dilba Health Service, are calling on the Territory government to prevent YiSSA from closing and to negotiate with the Commonwealth.

The NT already has the highest rate of homelessness in the country — more than 12 times the national average — but the organisations say the closure of YiSSA would risk even more people sleeping rough in parks, shopping precincts and on beaches.

Danila Dilba Health Service chief executive Rob McPhee said the closure would also put a strain on emergency departments and other frontline support agencies.

"If YiSSA closes, our teams will spend far more time trying to locate clients across multiple locations, making it harder to provide consistent care and increasing the likelihood that people will end up presenting to emergency departments," he said.

"This will place even greater pressure on hospitals and emergency services that are already operating under significant strain."

The service providers also said allowing YiSSA to close would contradict the NT government's own homelessness strategy, which aims to prevent homelessness and deliver culturally safe services.

The NT government has previously said YiSSA will close on October 11.