Senior Sergeant Anthony Bond, of Dunedin, said police were called to Opoho Scout Hall in Warden St at 11pm on Saturday due to an open party being hosted with about 100 teenagers attending.
The party involved massive alcohol consumption and led to the inside of the hall being trashed by attendees, Snr Sgt Bond said.
Police located a sledgehammer lying on the ground in the kitchen.
Multiple officers were required to disperse the teenage attendees, many of whom struggled to leave the street.
Police arrested one 16-year-old girl who was released by officers into the care of her mother.
An Opoho Scout Group representative, who declined to be named, said the hiring of the hall was "sold to them as something completely different than what it turned out to be".
In a social media post they said there would be no more hires for 21st birthday parties at the hall.
"Even with the best planning it seems that there is always an element that destroys it for the hirers and for the community."
The post included an apology on behalf of the people who hired the hall.
During the party and police efforts to break it up, police spotted a car parked up filled with people.
The 17-year-old driver behind the wheel admitted to drinking alcohol and underwent breath testing procedures.
The teen recorded a breath alcohol level of 600mcg and was forbidden from driving for 12 hours.
The legal limit for someone under 20 is 0mcg.
Later on at 1.21am on Sunday at a checkpoint in Queens Gardens, a 17-year-old girl was stopped and recorded a breath alcohol level of 206mcg.
She told police she was driving friends home after the party at the Opoho Scout Hall.
She was forbidden from driving for 12 hours and had her keys confiscated by police.
Both her and the other 17-year-old have been referred to Youth Aid.
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