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An abandoned and deteriorating former Dunedin hospital needs to be demolished before it starts damaging surrounding homes, residents say.

Glamis Hospital in Mornington has repeatedly been targeted by vandals, arsonists, trespassers and squatters since it was left vacant about five years ago.

Last year it was significantly damaged after fire spread through the building and since then there have been at least two more fires.

Fire and Emergency New Zealand have said the building is a huge risk to the public and neighbouring properties.

Grant Meikle's home backs on to Glamis. He said it was only luck and firefighters' quick work that stopped the fires from spreading to his property.

Dr Meikle has sent a letter to the Dunedin City Council asking them to classify the hospital as a dangerous building under the Building Act.

"We believe, as per DCC policy, that the property is a hazard to people entering the building and surrounds and therefore to the neighbouring properties."

Ultimately the best result for everyone would be if the building was demolished and it would be fair to say most of the residents in the area just want to see the building gone, he said.

"It's certainly very dangerous for anyone in there and is really a danger to our neighbourhood if it goes on fire again and the wind is blowing the wrong way."

There had been some brief communications with owner Leng Seak Loke but what he intended to do about the situation was very vague, Dr Meikle said.

Previously the council has said there is little it can do about the situation as the building was not considered to be dangerous or insanitary under the Building Act.

No council staff were able to answer questions about Dr Meikle's letter yesterday.

Cr David Benson-Pope said Glamis was another building in Dunedin which was essentially being demolished by neglect.

Council staff were still working out how they might force building owners to fix their dangerous and crumbling buildings, Cr Benson-Pope said.

While Glamis was a different situation to other buildings like 372-392 Princes St, which had been left empty since about 2009, it was important the council made it clear building owners could not just let their buildings crumble away.