Police wearing riot gear raided a well-known Newtown squat amid protests on Thursday evening.

Annabelle McMillan, a Newtown resident and witness to the raid, told Fairfax Media that Wilson Street had been blocked off and police had broken down all three doors of the Hat Factory Social Centre, a long standing squat and community hub.

Police raid the building on Wilson Street, Newtown. Credit:Lauren Ausburn

According to Ms McMillan, more than 50 police, some wearing helmets and riot gear, were at the scene.

"Men in those white police jumpsuits were sawing into the main door, it took them a while to break it down," Ms McMillan said.