A man at the centre of a police hunt in Tāneatua, which saw the local school put in lockdown for three hours, has been found by police.

Police said in a statement one person had been arrested in relation to the matter and the cordons were now lifted.

Police thanked everyone in the area for their patience and co-operation.

Inspector Stuart Nightingale told a Rotorua Daily Post reporter at the scene he expected the man in custody would appear in court later today.

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Armed offenders squad had been helping police in finding a "person of interest" since about 9.15am on Mckenzie St.

Residents were asked to remain indoors as a number of police, including police dogs, were working in the area, as well as an Eagle helicopter.

A section of Mckenzie St had been cordoned off, including the school.

Tāneatua School, which is on Mckenzie St, has put lockdown procedure in place, she said.

Tāneatua School principal Marama Stewart posted on Facebook, saying: "The kids are all safe in our school hall. Toilets, kai, water and activities to keep them busy. Police are looking after us, we are fine. Please don't come to school, we have them safe and I will update regularly."

The NZ Transport Agency issued a tweet saying that due to a police operation, a short section of State Highway 2 through Tāneatua was closed.

The road was closed between Morrison Rd and Station Rd East.

Police in Taneatua. Photo / Katee Shanks
Police in Taneatua. Photo / Katee Shanks

Motorists were asked to avoid the area or allow extra time for a detour.

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A reporter at the scene said there were locals out everywhere and big trucks waiting to get through.