That must be very distressing all round
As I've just posted elsewhere, I'm no expert on kittens, but I bet you're getting anxious and distressed and this will just be making the little one more agitated. I'd suggest putting on some calming music (to calm all of you down), sitting down quietly and moving, when you do, very slowly. I'd probably not try and interact with the kitten for the moment, just give her some space and don't force the issue. Breathe deeply so as not to get panicky.
This is just what I'd do myself: I'm sure someone better equipped will come on to offer more advice.
What's the kitten's name? Oh and ignore your neighbour for the moment - we'll cross that bridge later!