Institutionalization. I’m all in favor of nice institutions and every effort at rehabilitation but if you are in such a condition that you can’t go about your life without ruining those of everyone around you, then society is entitled to protect itself by removing you.
I certainly haven’t seen my preferred solution, just building them houses, done for fifty years. Sure sounds like you’re asserting that my preferred plan hasn’t worked despite it not having been tried at all and therefore asserting that the only choice is your plan.
What I’ve seen is fifty years of increased incarceration, police spending, and soaring housing prices.