Officers were initially called to Shenley Road in the area of Kennedy Road and Eglinton Avenue East for an unspecified investigation.
Police arrived and were then met with gunfire. They said someone inside a home was “actively shooting” at officers.
Just before 10:30 p.m., police told CP24 the shooting had stopped and officers were negotiating with the person to get them out of the home.
They added that the tactical team was also at the scene.
Shortly after 11:30 p.m., police said the suspect was arrested and there was no longer a risk to public safety.
It was not immediately known if there were other people inside the home. No injuries were reported.
Police advised residents of Shenley Street to shelter in their basements and the public to avoid the area while the situation unfolded.