It is the city’s second shooting incident within a week.
Emergency services were first alerted to the incident when an ambulance was called at 3.05am yesterday.
The call came from Yours, a cafe and arts venue run by the Ōtepoti Possibilities Co-operative, located in upper Moray Pl.
Armed police raided the space about an hour later.
A person affiliated with Yours said it was unclear where the shooting had happened but the injured man had driven himself to the space.
The injured man — understood to be a prominent Dunedin political activist — was shot in the liver, the person said.
He was affiliated with the co-op, which appeared to be why he drove himself to the space after the shooting.
Other than that the incident was unrelated to Yours and it was unclear what had triggered the shooting which was an "unfolding mystery", the person said.
From Yours the injured man tried to call an ambulance, but wound up flagging down a car in the street outside which took him to hospital.
He had since received surgery and was now doing all right, the person said.
About 3.45am, a witness saw police cars and officers standing in Moray Pl, which was cordoned-off between the former Dog With Two Tails premises and the View St intersection.
About 4am, video footage taken by another witness showed rifle-wielding officers from the Armed Offenders Squad, supported by a dog team, surrounding Yours and ordering any occupants to come out.
A blue hatchback, damaged on the driver’s side and understood to have been driven by the victim, was towed under police supervision shortly afterwards.
A staff member at a nearby business said when she arrived at work about 9.45am officers appeared to be searching for something in the cordoned-off street, using torches and looking under cars.
A cordon remained in place outside Yours yesterday while officers conducted investigations inside.
A post by Yours said the space had been used as a refuge, and everyone involved was safe.
The shooting follows three other firearms incidents in Dunedin since the start of March.
On March 3, a man sparked an eight-hour rooftop standoff with armed police after allegedly threatening to shoot officers while wielding an imitation firearm.
A search of his vehicle revealed a .308 firearm and various bladed weapons, police said.
He was charged with unlawfully having a firearm, possession of an offensive weapon and unlawfully getting into a vehicle.
A week later, on March 10, a shotgun was allegedly fired from one car to another in Thomas Burns St.
Armed police searched the wrong home later that afternoon, but four days later arrested a 25-year-old man who has been charged with attempted murder.
Three shots from a .22 calibre firearm were fired in Manor Pl last Monday and a 44-year-old man was arrested later that day.
He has since appeared in court, charged with discharging a firearm to intimidate. An accomplice remains at large.
A police spokeswoman said the latest investigation was in its early days and a number of active inquiries were under way.
Those included scene examinations in Moray Pl and inquiries at other locations in Dunedin to determine at exactly what location the man was injured, and the circumstances of what happened, she said.
While the man was reported to have been seriously hurt, he was stable.
"Anyone being injured in this way is of huge concern to police and our officers work incredibly hard to hold such offenders to account," the spokeswoman said.
Investigators wanted to speak to anyone with any information that could help if they had not already come forward, the spokeswoman said.
Detective Senior Sergeant Nik Leigh, of Dunedin said work to understand the circumstances of the incident was ongoing.
While no arrests had been made, police were following positive lines of inquiry, Det Snr Sgt Leigh said.
Police were aware such events were very unsettling for the Dunedin community.
"We want to reassure Dunedin residents that we believe this is an isolated incident," Det Snr Sgt Leigh said.
Investigators wanted to hear from anyone who had information which could assist their inquiries.
■ If you can help, please get in touch with Police and quote file number 230416/0114. Alternatively, information can be provided anonymously via Crime Stoppers on 0800 555 111.
