Bullet holes but no motive after street shooting spree

The scene of a shooting in Croydon Park in Sydney
The shots were fired from the window of a unit above a shop during the near-two-hour standoff. -AAP Image

Investigators are still trying to work out what drove a gunman to indiscriminately start firing on a suburban street, leaving one person seriously injured and sparking a shootout with police.

A 60-year-old man is expected to be charged with a number of firearm offences on Monday, accused of peppering the busy shopping strip with bullets and forcing a Sydney suburb into an hours-long lockdown on Sunday night.

Shattered glass and bullet hole-riddled windows remain as a reminder of the terrifying shooting spree at Croydon Park, in the city's inner west, where bystanders, cars and police were fired on more than 50 times.

Police returned fire after being targeted in the shooting spree, NSW Police acting Superintendent Stephen Parry told reporters.

No officers were injured, but more than a dozen people were treated for minor injuries - many caused by broken glass.

"It's incredible that nobody has died or received serious injuries in relation to this," Supt Parry said.

One man, riding in the back seat of a car with family members, was hospitalised after being shot in the neck.

He underwent surgery on Monday morning and is expected to survive.

The shots were fired apparently at random from the window of a unit above a shop during a near-two-hour standoff.

The arrested man had no criminal history and the shooting wasn't thought to be linked to any terrorism or gang activity, Supt Parry said.

Tactical officers arrested the accused gunman after storming his unit.

He was taken to hospital to treat minor injuries but has since been released and is being interviewed by police.

A 30-calibre rifle was seized following the man's arrest.

Police, including forensic and rescue officers wearing white and navy jumpsuits, remained at the scene on Monday morning scouring the area for clues. 

A handful of locals were also milling around as residents assessed the damage.

Neighbour Marco De Marcellis said he wasn't expecting to hear gunfire as he was settling in to watch the NRL grand final.

"I wasn't expecting gunshots, you don't expect that in Australia," he said.

"That's the beautiful thing about living here. It's why everyone wants to live here."

As the shooting incident played out, Mr De Marcellis was warned to stay inside by neighbours who had seen police swarm the area.

Body-worn cameras from police showed how close officers came to being hit as they took cover during the "serious and terrifying incident".

"You can hear numerous gunshots, and certainly impact, not too far from the camera," NSW Police Commissioner Mal Lanyon said.

One of the officers who was shot at had only been out of the academy for five weeks, Mr Lanyon said.

Premier Chris Minns described the incident as a "confronting and dangerous situation" and praised the bravery of police and other first responders.