UPDATE:
The pedestrian hit by a ute on Devon St has been discharged from hospital.
A Rotorua Hospital spokeswoman said the patient spent the night in the emergency department for observation.
A police media spokeswoman said police were called about 8pm on Thursday to an incident where a driver of a ute had hit a pedestrian and driven off.
The incident happened following a dispute between two men known to each other, police said.
The victim suffered moderate injuries.
An ambulance also attended.
Initial reports showed the ute had hit the pedestrian on Devon St, between Johnston Cr and the roundabout.
The police spokeswoman said the ute's driver left the scene. Police have since spoken to the alleged driver and inquiries are ongoing.