actually, getting them in one location may be very economical for getting homeless medical, dental care, and addictions treatment, but sure, some guardrails and scrutiny are required. Of course, it shouldn't be a dumping ground, on one hand, and not a magnet for easy living, on the other. It's a tightrope for sure.
Currently, incarceration for criminal offenses probably saves many lives, ironically. Not just those of potential victims, but those of the offenders as well. I've seen some examples of that first hand. But this may be a better option, if it has sufficient funding, staffing, planning and oversight.