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Man with knife arrested after major police operation, Sydney CBD

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Man With Knife Arrested In Sydney CBD Amid Reports Of Multiple People Injured

NSW Police have confirmed a woman has been found dead near the scene of this afternoon's alleged knife attack in the Sydney CBD, however they are still investigating whether or not it is linked to the earlier incident.

She was found inside a hotel, with stab injuries to her back and has been taken to hospital in a stable condition, after what NSW Police Superintendent Gavin Wood called an "unprovoked" attack.

A woman is taken by ambulance from Hotel CBD at the corner of King and York Street in Sydney, Australia.

Along with other passers-by, they used a milk crate and a chair to keep him pinned to the ground, he said.

Police have praised the extraordinary bravery of bystanders who ran towards danger today, confronting a man armed with a knife in Sydney's CBD and preventing potential tragedy.

Footage shows the man jumping on to the roof of a auto and falling to the ground when the vehicle tries to drive away, with members of the public in pursuit.

It's understood those members of the public along with NSW Fire and Rescue Officers then chased him down and held him before Police arrived on scene.

Police gave no further information but Seven News said a man was in custody after arming himself with a knife and running through downtown Sydney.

An employee from the shop told news.com.au he saw the man run past.

A man allegedly went on a rampage on King St between Clarence St and York St.

Police said they had not yet determined a motive for the stabbings.

A witness, Paul O'Shaughnessy, said he and his brother Luke were working in the office of their recruitment company when they heard shouting through an open window.

When the man fell he dropped a knife into the gutter.

"These people are heroes, and I want to acknowledge that".

Jack Huddo, who purportedly witnessed the incident, wrote on Twitter: "A random dude just started stabbing people in the city right outside where we were having lunch".

"They were bold, they were courageous". She was found in a unit block above Clarence St Cyclery, which was forced to close after police set up a crime scene in front and behind the shop.

Superintendent Wood said the attacker's rationale was unknown and investigations were ongoing.

"Everyone was just running away from where the fire brigade truck was and the next thing I saw this guy jumping over the vehicle".

"There were police, people with their phone out, there were fireys trying to contain him".

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