Armed police cordoned off part of a busy Palmerston North street as they arrested a man who emerged with his hands in the air and police rifles trained on him.

About 10am on Monday, armed police officers were telling people to steer clear of a strip of Ferguson St, between West St and Ngaio St.

Cars and pedestrians were directed away from the area as they hunted for a man with tear-drop tattoos on his face.

Warwick Smith/Stuff Armed Offenders Squad called to a Ferguson St property. Man surrenders and is arrested by police.

At 10.25am, six police from the armed offenders squad prepared to move in on a Ferguson St property. About 20 armed officers were inside the police cordon and police dogs were at the scene too.

After requests from the armed offenders squad to come out of the property, around the area of 131 Ferguson St, a man emerged with his arms raised.

Senior sergeant Phil Ward said about 9am on Monday morning police received information about the man, who was wanted on firearms charges.

Warwick Smith A man who was wanted on firearm charges was arrested by police in Palmerston North.

"There was some information he may have been in possession of a firearm," Ward said.

No-one was hurt in the arrest and the 31-year-old man was now in custody.

"It was only that one offender that we were looking for."

Warwick Smith A man is arrested by armed officers on Ferguson St, Palmerston North.

Families with children lived at the property, but the area was now safe, he said.

"We are very thankful for people's patience on Boxing Day."

By 11.30am, the scene was clear and police said they were not looking for anyone else.

Warwick Smith The man emerged from a house surrounded by armed police.

Blaze Mehlhopt​ said he woke to find armed police just outside his house.

"I popped my head out and I saw the gun by the fence."

His neighbour often walks up and down the street wearing Nomad patches.

MIRI SCHROETER Armed police were stopping people enter part of Ferguson St, Palmerston North.

"I watched them put the dog into the sleepout. There's heaps of kids tht live down there, about six."

A solo mum was left frightened after being told to stay inside by armed police, who said they were looking for a man with tear-drop tattoos on his face.

"There were cops everywhere. It was pretty scary. There's gang members that live next door. There are a lot of yucky people that come in and out," she said.

"We can hear them arguing."

A Ngaio St resident said he had seen a man with Mongrel Mob patches in the area several times in the past week.

"About a week ago there was a couple of guys with patches walking past the house. It's usually a totally safe area."

There were often men with patches around the area of the house police were searching, he said.

Ferguson St resident Ashleigh Thornton said there were a few Mongrel Mob members and Nomads living in the area, but the neighbourhood was generally safe.



"I know there's a few gangsters that live down there. They normally just keep to themselves. They say 'hello' and stuff. I just don't pay much attention to them."



Her neighbour had warned her of strange behaviour in the area after the neighbour saw a man in a garden about 5.30am on Monday.



"She said someone was trampling in the bushes."



Thornton was a bit concerned, as she was at home with her three children, but was relieved the police were on the scene.