halfway house

noun
1.
an inn or stopping place situated approximately midway between two places on a road.
2.
any place considered as midway in a course.
3.
a residence for former mental patients, convicts, or recovering drug users or alcoholics that serves as a transitional environment between confinement and the return to society.

Origin:
1685–95

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Based on the Random House Dictionary, © Random House, Inc. 2014.
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Collins
World English Dictionary
halfway house
 
n
1.  a place to rest midway on a journey
2.  the halfway point in any progression
3.  a centre or hostel designed to facilitate the readjustment to private life of released prisoners, mental patients, etc
4.  (Brit) a compromise: a halfway house between fixed and floating exchange rates

Collins English Dictionary - Complete & Unabridged 10th Edition
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American Heritage
Medical Dictionary

halfway house half·way house (hāf'wā')
n.
A rehabilitation facility for individuals, such as mental patients or substance abusers, who no longer require the complete facilities of a hospital or other institution but who are not yet prepared to return to their communities.

The American Heritage® Stedman's Medical Dictionary
Copyright © 2002, 2001, 1995 by Houghton Mifflin Company. Published by Houghton Mifflin Company.
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Example sentences
Quanta packets of light are actually a halfway house between the higher and
  lower worlds.
It's a sort of halfway house between captivity and reintroduction.
Offenders who might once have been sent to a local jail or a halfway house were
  now sent to a state prison.
Now before red wolves taste freedom, they're given an acclimation period in
  their own lupine halfway house.
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