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A total of 1437 first admissions to a closed therapeutic community ward from 1977 to 1992 were assessed for subsequent readmissions. The ward had a double function: both crisis intervention and psychosocial rehabilitation. During the follow-up time, 515 (36%) patients were rehospitalized. One-third of the patients (187 cases) were rapidly readmitted within 3 months of discharge, whereas 328 patients were readmitted later, after 3 months. The association of rehospitalization with some patient and program characteristics was analyzed by the time to an event analysis (survival analysis), using the Cox regression model. A generally increased readmission rate was associated with young age (less than 23 years), psychosis diagnosis, and active participation in individual therapy. Rapid readmission (within 3 months) was linked to active participation in individual therapy and a poor immediate institutional outcome, and it was seen as a clinical necessity in crisis cases even though their first treatment episode was partly unsuccessful. Later readmission (after 3 months) was associated with an earlier long stay and a positive institutional outcome; it was seen as a part of the long-term psychosocial rehabilitation for patients who had responded well to the therapeutic community. Thus the double function of the ward under study - crisis intervention and psychosocial rehabilitation - was reflected in these two types of rehospitalization.Admission, Cox regression, Psychiatric hospital, Rehospitalization, Therapeutic community.