Ms Manning's extensively injured body was found dumped in Christchurch's Avon River, after she had been working in the red light district.
Police said Fawcett was identified as a person of interest early in the investigation, and he is linked to the Christchurch property on which it is alleged Ms Manning was murdered.
Investigators focused on a section in Galbraith Ave that was being used by the Mongrel Mob at the time.
"From evidence gathered, it is clear that a number of people have been involved in either the kidnapping or murder of Ms Manning," said Detective Inspector Greg Williams.
"I would expect that we will be interviewing a number of people associated with the charged man over the next few days."
Asked yesterday if Fawcett had gang connections, Mr Williams would not comment.
Ms Manning's brother Robin Manning said the call from police yesterday to give him the news of the arrest "came out of the blue".
"Just for some reason, I wasn't expecting it," he told the Herald.
"But I'm not sure when you ever do expect a phone call saying that they have arrested someone.
"It's great news. Definitely 'closure' is the better word."
Robin Manning said his first thought after getting the news was to let his mother know.
"He and his family had always been hopeful they would one day get a result.
"I guess as the years go on, [that belief] does kind of diminish a little bit. But I know that the police were working pretty hard."
Prostitutes Collective regional co-ordinator Anna Reed said there would be a "collective sigh" of relief from the sex industry in Christchurch.
Although many of the sex workers who knew Ms Manning would have moved on from the industry, some would vividly remember her and what happened to her.
Ms Reed praised police for persevering to get a result.
"There's so many countries where an investigation wouldn't even have been started, because it wouldn't have been considered worth it."
Mr Williams said police were still trying to identify the person linked to unidentified semen found on Ms Manning's body.
Fawcett had been ruled out in relation to this.
