Update: A Fire and Emergency spokesperson says, the blaze is near extinguished, and crews are currently investigating the scene.
The Strand, between Commerce St and George St will be closed for most of the morning.
Members of the public are asked to keep away from the scene.

Whakatāne businesses are devastated after a fire tore through parts of the CBD on Monday.

Emergency services were initially called to a car fire on The Strand just before 1am but arrived to find a commercial property on fire.

Fire and Emergency New Zealand says 12 crews are working to extinguish the blaze.

Whakatāne Mayor Judy Turner says six businesses have been damaged by the blaze.

She says the town’s businesses are "stunned".

"It's the small and medium businesses within New Zealand who have paid the largest price for our COVID response so the last thing we need is a situation [like this]."

Investigations into the cause of the early morning blaze are underway but Turner says a burning car was found in "an unusual place" under an eave between two retail shops when firefighters arrived.

One of the affected businesses is EPIC Escape which is devastated by the fire.

"We're absolutely devastated that the thoughtless actions of some individuals has resulted in the loss of Epic Escape this morning,"

"We have spent 3 years pouring our heart and souls into building this business, and in less than 30 minutes it is all gone.

"If you have bookings and vouchers with us we will be in touch with you in due course to organize refunds."

Source: Newshub.co.nz