The investigation into a fatal shooting and siege in Brighton yesterday continues.

Police were called to a serviced apartment complex in Bay Street about 4pm on 5 June in relation to reports of gun shots.

When police arrived at the address, a 36-year-old male employee was located deceased with a gunshot wound in the lobby of the building.

A short time later a phone call was made to triple zero (000) by a woman stating there was a hostage situation and a deceased male at the property.

Specialist police units including the Special Operations Group (SOG), Critical Incident Response Team (CIRT) and Bomb Response Unit (BRU) then joined local police at the scene.

The area was cordoned off and police made immediate attempts to remove people from the location.

At approximately 6pm, while police were in the vicinity of the apartment complex, a man exited through the front of the building and began firing at police.

Police returned fire, which resulted in 29-year-old Roxburgh Park man Yacub Khayre being fatally shot.

A 36-year-old Ripponlea woman who had been held against her will was then rescued by police.

It’s understood she was initially called to the apartment by the offender as part of an escort service.

She sustained minor physical injuries during the incident.

During the exchange of gunfire, three male SOG officers sustained non-life threatening injuries.

Two officers were transported to hospital while the third was treated at the scene.

The hospitalised officers, one with a hand injury and one with a neck injury, remain in a stable condition.

The investigation into this incident is being conducted by the Homicide Squad with assistance from the Joint Counter Terrorism Team which is comprised of both Victoria Police and Australian Federal Police investigators.

This investigation is on behalf of the Coroner.

It will also be oversighted by Professional Standards Command as per standard procedure for police shootings.

While it is only in the early stages of the investigation, it is being treated as a terrorist incident.

We are aware an organisation has claimed responsibility for the incident and this will form part of the police investigation.

Police also believe a phone call made to a media outlet in Melbourne claiming the incident was for ISIS was made by the deceased gunman.

We can confirm the deceased Roxburgh Park man was known to police and had a criminal history including intentionally cause injury and arson offences.

He was on parole at the time of this incident and police are liaising with Corrections Victoria in relation to this aspect.

At this time investigators have not identified involvement from any other person, however anyone with information is urged to contact Crime Stoppers on 1800 333 000 or make a confidential report at www.crimestoppersvic.com.au

Bay Street is expected to be impacted for much of today as police continue to process the crime scene.

Police will also be out and about in the local area talking to residents and we encourage anyone who has concerns to discuss those with us.

Police have also executed a warrant at the Roxburgh Park home of the deceased man this morning as part of the ongoing investigation.

This is an isolated incident and the community can be assured that Victoria Police is doing everything we can to keep members of the public safe.

We understand that people are concerned, particularly following recent incidents internationally.

However there is no known or specific threats to any Victorian organisation, infrastructure or event and police encourage people to go about their daily business.

If you see or hear something that doesn’t feel right then contact the National Security Hotline immediately on 1800 123 400.