Parents picking up their children from school in the tiny Bay of Plenty town of Thornton were told they were under lockdown in the library.
The Armed Offenders Squad is assisting Bay of Plenty police following reports of a man with a firearm in Thornton near Whakatāne.
A Rotorua Daily Post reporter at the cordon at the intersection of Thornton Rd and East Bank Rd saw armed police walking a handcuffed shirtless man to a police truck.
East Bank Rd resident Carl Watson, who said he had known the man since he was young, was in lockdown in his house, being told to stay away from all windows and at the far end of the house.
There was an armed cop at his back door and one about 10-feet away by his garden fence, plus two other armed cops who had been walking around his property since about 3pm.