"As a result of police getting a search warrant, we took precautions because of items we found at the address and are continuing to investigate, but now there is no danger to anyone."
No charges had been laid, he said.
Nearby resident Peter Johnston was on his way home when the cordon was put up.
His house, with his wife inside, was inside the cordoned area.
Mr Johnston had lived in Rotorua for more than 40 years, he said.
"It's the first time I have seen anything like this before."
An emergency services worker at the scene said a chemical substance could be smelt in the air.
A resident, who did not want to be named, said the incident was unusual for the street.
"I have never seen anything like this before."