A car fire at Oreti Beach in Invercargill has spread in to the sand dunes and is a threat to some houses in the area.
The fire is on the beach side of the Oki St village and smoke is spreading across Invercargill.
Oki St resident Gavin Booth said residents were asked to prepare to evacuate by Fire and Emergency New Zealand.
Booth said it was a little scary because if the wind changed direction the fire could pose a serious threat to his property.
He said it was the second major fire in the area within four months and he suspected it was because of criminal activity.