Whakatane police set up cordons at the coastal settlement of Taiwhakaea after receiving reports of a man walking around with a high-powered firearm.
Police set up the cordons at the intersections of Golf Links Rd and State Highway 30, and Wano and Ferguson Rds, just a few kilometres from Whakatane towards Tauranga.
Senior Sergeant Bruce Jenkins said police were called at 9am yesterday. They then alerted the Tauranga police armed offenders squad.
"However, before the armed offenders arrived we managed to arrest the person, a man in his early 40s, a short distance from his house," Mr Jenkins said.
The man was to have appeared in court yesterday or today.
Under the Search and Surveillance Act 2012, the man's home was searched and police found a high-powered gun that had allegedly been stolen in a separate incident. "We also found other stolen property and an amount of cannabis."
Mr Jenkins thanked the people of the Taiwhakaea community for their co-operation.