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Update 2: One person has died and a suspect has been transported to a hospital after holding multiple people hostage for hours inside Virginia's on King restaurant, according to police. Police say that the hostages are now free and safe.

Around 2:30 p.m., a loud boom, that did not necessarily sound like a gun shot, rang in the area. A person was transported out of Virginia's on a stretcher. Shortly after, police began breaking down the perimeters and allowing people closer to the scene.

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Update: according to AP, citing the Mayor, a disgruntled restaurant employee has shot 1, and is holding hostages in Charleston, South Carolina.

BREAKING: Mayor: Disgruntled restaurant employee shoots 1, holds hostages in Charleston, South Carolina. — The Associated Press (@AP) August 24, 2017

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Police in downtown Charleston, S.C, are responding to an "active shooter situation" near King Street between Calhoun and Morris Streets, according to police spokesman Charles Francis. Employees working in the area near Virginia's restaurant say they are on lockdown as police swarm the area and ask people to avoid the area, the Post and Courier reports. The shooting was first reported at 12:17 p.m. Thursday. Officers were able to quickly find the wounded person in Virginia's. It is unclear how many hostages are still trapped inside.

Mayor John Tecklenburg, doing something that Trump has been accused of many times, was quick conclude that "this was not an act of terrorism. This was not a hate crime. This was a disgruntled employee."

The shooting and hostage situation is taking place Virginia's on King, a restaurant in the heart of downtown which is a popular Southern cuisine restaurant in tourist and commercial area in downtown Charleston. Employees at nearby businesses said they were on lockdown as authorities swarmed the area. Several people have said the active shooter situation appears to have started within Virginia's.

"Right now the streets are full of SWAT and police and people heavily armed. They are blocking off the whole block," Sarah Cobb, owner of MOSA boutique told CNN.

DEVELOPING: Police are responding to an active shooting in downtown Charleston, S.C.; reports of hostage situation https://t.co/ibtMQH9mzm pic.twitter.com/Q8kbQbMuN1 — CBS News (@CBSNews) August 24, 2017

I'm being told to get away from King. "Tell everyone to get off the street." Personnel still rushing toward the scene. #chsnews pic.twitter.com/WmRKNfJkdy — MK Wildeman (@mkwildeman) August 24, 2017

Peter Siegert, 73, and his son Peter Siegert IV, 45, both of Maryland, were eating at Virginia's when two waitresses and three kitchen staff members marched through the restaurant and out the front door without saying anything.

Dispatch officials have confirmed an "incident" at 412 King St. in downtown Charleston. (Nick Milak photo) https://t.co/GzMVnLrADO pic.twitter.com/HyZEetmRFu — WPDE ABC15 (@wpdeabc15) August 24, 2017

An older black man wearing an apron and dressed like a kitchen staff member walked through the front door holding a small caliber revolver. He locked the door and “I am the new king of Charleston.” He told everyone in the restaurant to get down and move to the back of the building. There were about 30 people dining at the time.

They herded to the back where there were two side exit doors. They began filtering out, some crawling on all fours. “We did not want to give him a good target,” the younger Siegert said. He apparently was the last person out in the group but did not know if others were still inside.

The hostage taker has been described as a "disgruntled employee."

Outside they saw police and asked how soon they might be able to get back inside the restaurant to collect their belongings.

“Not now, we’re not finished with this yet,” the officers said back. The Charleston Police Department's bomb squad has arrived at the scene.

Tom and Patsy Plant were eating lunch at Virginia's with their daughter Laura among 15 to 20 people. They said a man came from the kitchen with a loaded revolver in his left hand and announced "There's a new boss in town." One customer ran out back door. The Plants followed the customer, leaving their stuff in the restaurant. They described gunman as black man in his late 50s. Patsy said he looked like "an ordinary grandpa, but he had a crazy look. It was very crazy."

Warner said that police came to the office and put the office on lock-down. "They've called employees and said, 'Don't come back if you're out of the office,'" he said. Warner added that he didn't hear shots fired and didn't know if other employees did. At least 10 police cars were seen speeding south on Upper King street toward Virginia's restaurant around 12:30 p.m. Thursday.

“I saw guns drawn at the entrance to Virginia’s,” said Sarah Cobb, owner the nearby store MOSA Boutique. She said she did not hear any gunfire but that there is a heavy police presence and SWAT officers in the area. When she stuck her head out of the store, police told her to stay inside. “They had SWAT with big rifles going down the street in front of me... The cops in front of me said they wanted to talk to a witness.”

Craig Nelson, a bartender at nearby Proof, which was supposed to host a liquor launch this afternoon said that there are "just an insane amount of police in vests. They have us all locked in." He added that "Virginia's is surrounded."

Meanwhile, Police dispatch said they got the initial call as "a hostage situation involving a weapon." "They (police) said there was an active shooter at they think Virginia's," said Doug Warner, a spokesman for Charleston Area Convention and Visitor's Bureau.

Warner said that police came to the office and put the office on lock-down. "They've called employees and said, 'Don't come back if you're out of the office,'" he said. Warner added that he didn't hear shots fired and didn't know if other employees did.