Investigators are now looking for the cause of a fire that has left residents of a 160-unit apartment complex in Fort McMurray homeless.

Firefighters continue to douse hot spots Monday after a spectacular fire at Parson's Landing which began at 11:30 Sunday.

The fire started in the north wing of the building, which suffered severe damage.

Parsons Landing Monday morning after the fire. (RCMP)

"We were awoken to some thumping and banging in the hallway," said resident Scott Machan. "We looked out the door to see some firemen and water coming down the hallway."

"Firemen were screaming to get out," he said. "We then turned and looked out the back window and could flames flying from the apartment next to us."

He and his wife escaped with little more than what they were wearing.

"When we left the alarms still weren't going off; smoke detectors still not going off," he said.

"By the looks of the portion of the building that burned, it doesn't look like there's too much left of our place," said Machan.

Residents reported hearing explosions.

"There were several cars in the parking lot that caught on fire and had their tires pop and their fuel tanks pop, things like that," said RCMP Cpl. Adam Schedlosky.

It's not clear how many units have been destroyed, but RCMP say the damage is extensive.

Ecole McTavish School has been set up as an evacuation centre and will be closed for classes Monday as relief workers distribute supplies.

There are no reports of injuries, said police.