Updated - 3.45pm
Cordons have been removed and emergency services have left the Welcome Bay property they descended upon this afternoon.
Road blocks were set up around the bottom of Waitaha Rd and armed police were seen swarming a property.
Residents have reported seeing two men on the ground with police pointing rifles at their heads.
Witnesses saw the fire service setting up a decontamination tent and two people being hosed down.
Police have not yet released information about the operation.
A St John spokesperson confirmed he was also at the scene as a precaution.
Updated - 3pm
Selwyn Ridge School is in lock down after armed police cordoned off areas of Welcome Bay.
It is believed police told the school to go into lock down about 2.30pm, which is when students are usually released for the day.
The school is gathered in the hall waiting to get the all clear.
Parent Vicki Nogai said the children were locked in the hall and were being released as parents arrived to pick them up.
She said teachers were asking parents for their address to confirm their identity before they released their children to them.
Updated - 2.45pm
A caller to our newsline 0800 253 253 said that parents of children attending Selwyn Ridge Primary are waiting to collect the children but they have been told the children are not allowed to leave the school at this stage.
Updated - 2.40pm
A reporter at the scene said the majority of police have left the scene but there are still half a dozen police officers left.
The sister of a person who lives in the neighbouring house told the Bay of Plenty Times that she received a call from the occupant telling her that the road was cordoned off.
That she had seen police enter a house, put some men on the ground, and pointed guns at them.
The reporter said she had seen one man in a white boiler suit.
The road has been re-opened shortly after 2.30pm.
Police have blocked off a section between Waitaha Road and James Cook Drive in Welcome Bay just before 2.00pm today.
A caller to our news-line 0800 253 253 said she saw an ambulance, police cars and armed police officers while she was driving in the area.
Another caller said she saw armed police and three fire engines.
It is believed that a hazardous material unit is also at the scene.
Parts of Waitaha Rd and James Cook Drive are being guarded by armed police.
Traffic is being diverted up Victory St and along Osprey Drive onto Waitaha Rd.
There is another road block at the intersection of Village Park Rd and Waitaha Rd.
More soon on bayofplentytimes.co.nz
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