Major update after a machete-wielding man was dramatically taken down by police as he allegedly threatened neighbors in Leichhardt, Sydney

A middle-aged man who allegedly terrorized a quiet Sydney street by threatening people with a machete has been charged.

Police and paramedics rushed to Marion Street in Leichhardt, in Sydney’s inner west, about 10.35am on Saturday after receiving reports that the man was waving a large knife at locals before crashing into a building.

The 54-year-old man was later arrested without incident after a tense confrontation with tactical police.

He was charged with four offenses on Saturday evening, including armed with intent to commit an indictable offence, attempted stalking/intimidation with intent to cause fear of harm, common assault and affray.

Terrified residents claimed several passers-by were lucky to escape, with one man falling to the ground before they managed to escape unscathed.

A resident of the street claimed he had a ‘big sword’.

“He almost hit a man with it but the man pushed him away,” she told Nine News.

A 54-year-old man has been charged after allegedly threatening people with a machete on a Sydney street

The incident sparked a major police operation, including tactical officers

Another described a passerby defending himself with his bag.

“Then another person was walking down the street with a backpack and he tried to cut at them and the man who was holding the backpack in front of him to protect himself,” said a terrified witness. news.com.au.

The man reportedly ran into a garage and briefly barricaded himself as members of the riot police began negotiations over a large loudspeaker.

The man eventually came out and was ‘arrested’ by police officers.

Another witness claimed the man was holding a “large machete.”

“He chased another man, said ‘come back here’ and waved the machete at the man, and then chased other people, and then cut open (someone’s) bag,” she told the publication.

At one point, police heard her negotiating with the man using a large megaphone

The riot police attended the incident on Saturday around 10:35 am

NSW Police said a man had been arrested following a police operation in Leichhardt.

“A perimeter was established and – with the assistance of specialist resources – an operation was launched to locate the man,” police said.

“The man was arrested without incident at around 12.30pm and taken to Newtown Police Station where he is assisting police with inquiries.”

A man from Leichhardt was charged on Saturday following a police operation

After the incident, the man is led away in handcuffs by the police

The man was checked at the scene by ambulance personnel.

Buses were diverted for up to an hour when Marion Street was closed between Cromwell Street and Elswick Street.

The investigation into the incident continues.

The Leichhardt man has been refused bail to appear at Parramatta Bail Court on Sunday.