A New Zealand father pleaded for his daughter before he was shot dead by police in Brisbane.

Shaun Kumeroa, 42, was killed after a four hour standoff with police on Monday in the residential area of Inala.

He was holed up in a car, armed with a handgun during the siege.

After lengthy negotiations, Mr Kumeroa got out of the vehicle and pointed the gun at police, before he was shot by members of the Special Emergency Response Team.

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Witness Shelly Redding told the Courier Mail that Mr Kumeroa appeared to be asking for his daughter, and that he was "off with the fairies somewhere."

"They were saying to him, 'Get out, get out, drop all weapons'," Ms Redding said.

Neighbour Nigel Butkowski told the Australian newspaper that he spoke to Mr Kumeroa from his bedroom window.

"I said, 'Don't do it, mate, don't do it'," he said. "He wasn't erratic, he was basically sitting there looking straight ahead."

The area of the shooting is well known by locals as a place used to deal drugs.

Mr Kumeroa, who had worked for oil and gas company MB Century Drilling but was fired in 2008 after allegedly being found drunk at work, had left New Zealand when he was 4 or 5.

He was described by a New Zealand family member as a "hard working person" who had "some struggles."

The family member, who did not want to be identified, said Mr Kumeroa was separated and had a young daughter.

The Courier Mail reported Mr Kumeroa as saying the loss of his job in 2008 had left him nearly homeless, unable to pay child support and bills.

He had held the job for several years, despite being barely literate and needing assistance to read instructions to fill out forms.

"As a consequence of the termination of my employment and the resulting ... events, I was extremely stressed and in a fragile state of mind," Mr Kumeroa said through a lawyer at the time.

An investigation into the incident by the police Ethical Standards Command is now underway and a report will be prepared for the coroner.

Nine News reported that homes were evacuated during the siege, that "about nine shots" were heard, and Mr Kumeroa was hit "a number of times."

Police were initially called to an address on Gannett St just before midday on Monday for a different reason, but as they approached the address they saw Mr Kumeroa in a car holding a firearm.