Members of the police Armed Offenders Squad are currently clearing a number of addresses on Lake Rd, Okaihau, 11km north-east of Kaikohe.
Police have set up a base at Okaihau fire station and armed officers are stationed outside with road spikes at the ready in case anyone tries to flee.
Cordons are in place at both ends of Lake Rd, which runs from Okaihau township passed Lake Omapere to Te Pua Rd, SH15.
Police are also stationed nearby on State Highway 1.
Police at the scene said a man who was wanted to arrest was spotted near Ohaeawai around noon today.
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Police were currently clearing a number of addresses in the Lake Rd area and armed police are stopping cars coming out of Lake Rd and searching their boots.