A half-billion dollar COVID-19 quarantine facility in Melbourne's north will be closed after just eight months in operation following a drop in demand.
The Centre for National Resilience in Mickleham opened in February to house international travellers, frontline workers and Victorian community members, but housed just 2,168 residents.
It equates to a cost of more than $267,000 per resident during the quarantine hub's life span.
The government said a decrease in COVID cases across the state had led to a drop in demand for quarantine accommodation at the site.
The facility will close next week, with a small number of staff working to shut down the site until it is handed back to the federal government at the beginning of next year.
Police Minister Anthony Carbines defended the facility's usefulness and said it would continue to be of use during future emergencies.
"The Victorian Quarantine Hub has served its purpose in keeping Victorians safe from COVID-19. Its closure is another step in our recovery from the pandemic," Mr Carbines said.
"Australia needed these facilities before the pandemic first hit – but this important facility now exists as an insurance policy in the event of a future pandemic, or to provide accommodation in emergencies like natural disasters."
Opposition says facility should be used to help 'fix' health crisis
The opposition has slammed the decision to close the facility and said it had committed in August to investigating alternate uses for the facility.
Shadow Health Minister Georgie Crozier said the move showed contempt for taxpayer money and that Victorians in need could benefit from the site.
"Putting a padlock on Mickleham is just lazy – this facility could be used to house bed blockers or vulnerable Victorians needing crisis accommodation and more," Ms Crozier said.
"A Liberals and Nationals Government will not let this facility go to waste and will immediately explore relocating bed blockers to this facility to help fix the health crisis."