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A hooded gunman man has stormed a retirement home for monks in France and killed two people, according to reports.

An elderly female warder was found gagged and tied up before being killed with a knife, said the source.

The gunman is believed to have broken into the building in Montpellier, France, on Thursday evening.

According to unverified reports in France, the man was wearing a hoodie and carrying a sawn-off shotgun.

He is said to have killed a man and a woman inside the home.

Those killed are thought to be a woman supervisor, and a man who was working with her.

Around 70 monks are believed to reside in the property.

(Image: Getty)

59 of the residents are confirmed to be safe, according to local reports.

The body of an elderly warder who raised the alarm at the home, which is run by the Society of African Missions, was found outside the home by police.

Gendarmes arrived within minutes of the alarm being raised, and they were soon followed by a unit of the GIGN tactical support group.

But shots were heard, and there were reports of manager of the home being tied up and gagged by the intruder, who was wearing a balaclava and carried a shot gun and knife.

"A supervisor inside the building raised the alarm very discreetly," said a local police source, who confirmed that the siege was on going past 11pm.

"There are fears that two people have died - a man and a woman. The gunman is being hunted."

It is not known if shots have been fired however the suspect is believed to still be on site.

A source close to the investigation told Reuters: “Nothing at this stage would indicate that this would be a terrorist act.”

France is on heightened alert and has been under a state of emergency since a wave of Islamist attacks last year.

Suspects arrested last weekend in France under anti-terrorism measures had been planning to launch attacks on December 1 at important and landmark sites in and around Paris.