Homes on Mont Pinel in Jersey’s capital, St Helier were evacuated and four people were taken to hospital following a major incident.
Emergency services were called to the area following reports of a suspected explosion late Wednesday evening.
Residents reported being asked to leave their properties and said one family was taken to the hospital, but are in a stable condition with no life-threatening injuries.
Photos show the wall of a property has collapsed, exposing a pair of bunk beds.
Ian, who lives below the house, was woken by the explosion. "I was lying in bed last night and I heard a massive bang, which I thought was an accident but when I went outside I saw the front of a house that had been blown out.
"One hour after the fire brigade left, that was when the front of the building collapsed. 15 minutes later, the local police officer came and asked us to vacate the building and move to another property for the evening.
"I came back this morning and looking at the building now, you can see the extent of the damage."
Neighbours say multiple ambulances, fire engines and police cars were at the scene just before 11.00 pm on Wednesday (26 June).
Ian witnessed the family being taken out of the home: "I believe that the firefighters managed to get the children to go to the back of the house where they were retrieved safely I think, with no injuries.
"The parents I think were in a little more distress with injuries which I don't know the full extent of, but out of the family of four gladly I think everyone has escaped with their lives."
A police statement, issued just after 7.30 am on Thursday said: "Four residents were transported to the General Hospital for medical attention, and several others were evacuated from their homes as a precautionary measure.
The incident is being investigated and the cause remains unknown."
Jersey's Chief Minister Lyndon Farnham has extended his thoughts to the family affected and those who have been displaced.
In a statement, he says ministers know of the incident and the damage caused at Mont Pinel.
"Four households were evacuated as a precaution with the Government of Jersey providing ongoing support."
"The government is providing ongoing support to those families."
Chief Minister Lyndon Farnham
Staff at the nearby Acrewood Nursery came into work this morning only to be turned away, with officers telling them the building will be closed today.
One nursery worker told Channel 103: "The gates opened at 7.15 am, and I met a police officer. It had all been cordoned off, and he said I couldn't come through."
Utility workers are also in the area, appearing to inspect nearby gas pipes.
The area around Mont Pinel is closed but we were told school traffic was not affected and Mont Millais is open.
St Saviour Constable Kevin Lewis called a 'significant explosion' that necessitated the 'precautionary evacuation' of nearby residents to the Parish Hall. They have since been given temporary accommodation.
"According to the latest updates, four individuals have been taken to the hospital. Our thoughts are with these individuals and all those affected during this difficult time. It is currently too early to speculate on the cause of the incident."
The Constable has thanked everyone involved for their 'dedication and swift action': "I extend my gratitude to our dedicated parish team members, who were called upon at extremely short notice to assist during the night. Special thanks to our Chef de Police, the Honorary Police, and all emergency service personnel for their rapid and effective response in evacuating the area and managing the situation. I would also like to thank Marius from Roberts Garage for his generous assistance with providing fresh food and drink.
"We are actively coordinating with the Government of Jersey’s emergency response team to facilitate the transition of these residents into long-term accommodations."
Island Energy has given us this statement, and refused a request for an interview: "We can confirm that we are supporting the Emergency Services who are dealing with an incident that occurred just before 11.00 pm in the vicinity of Le Mont Pinel, St Saviour on Wednesday, 26th June.
"The incident is being investigated and the cause remains unknown."