Deborah Glass says the Victorian government should apologise publicly for confining 3000 residents across North Melbourne and Flemington to their homes without warning on July 4.

Her investigation released on Thursday found the decision was not based on direct health advice.

She looked specifically at the treatment of people living at 33 Alfred Street, North Melbourne and whether it complied with their human rights.

While the lockdown did work to halt the rapid spread of COVID-19 in the building, Ms Glass found the detention of residents without any notice "appears to have been contrary to law".

Health officials had earlier agreed on the plan but believed they had 36 hours to prepare. Instead, Premier Daniel Andrews called a press conference to announce the immediate lockdown.

Residents found out when police surrounded the building.

"Their distress, when they spoke to us, was palpable," Ms Glass wrote.

The timing was not endorsed by acting Chief Health Officer Annaliese van Diemen, who was given less than 15 minutes to review the directions and their human rights implications.

Ms van Diemen was "not entirely" comfortable with the process, Ms Glass said, and told the investigation she wasn't convinced a day delay to the lockdown would have made a "hugely significant" difference to containing the outbreak.

Authorities had security concerns about the lockdown. But these appeared to be based partly on incorrect and potentially stereotypical assumptions about the residents.

"The evidence was the vast majority were law-abiding people, just like other Australians," the ombudsman said.

"It is unimaginable that such stereotypical assumptions, leading to the 'theatre of policing' that followed, would have accompanied the response to an outbreak of COVID-19 in a luxury apartment block."

While restrictions were wound back for eight of the towers after five days, residents at 33 Alfred Street were prevented from leaving for a full fortnight.

Ms Glass reserved her harshest criticism for the "degrading and inhumane" temporary fence erected at the block so residents could go outside for the first time in a week.

"These residents likened the area to a cage or prison exercise space and said they felt 'surrounded' by Victoria Police personnel," the report said.

The health department conceded "the optics were terrible".

It also failed to notify nearly half of the Alfred Street households of the detention directions and were unable to produce any records showing the decision was formally reviewed each day, if at all.

"Neglecting human rights comes at a deep human cost," Ms Glass said.

She recommended the government apologise publicly to all residents of the nine towers for the harm and distress caused.

One resident told the inquiry: "It felt like, 'are we in a safe place anymore, or not?'".

"We grew up here, we were born here, we know the system. We have doctors among us, psychologists," he said.

"We felt unworthy, just people who live in public housing."

Victoria's Housing Minister Richard Wynne has refused to apologise.

"Human rights of people are not secondary at all," he told reporters.

"We have absolutely conformed with all of our legal obligations. We make no apology for saving people's lives."

Ms Glass also called for changes to the state's Public Health and Wellbeing Act that would allow for a review of any similar decision in the future.

Australian Associated Press