A Rotorua councillor says he's almost speechless after hearing of a gang shoot-up at a busy park in Rotorua's CBD.

Police say shots were fired near near Kuirau Park yesterday morning, just a short distance from a popular playground and a local market.

READ MORE: Shots fired near Rotorua playground during gang conflict

Rotorua Lakes Council recreation portfolio leader Charles Sturt says the incident is alarming.

Mr Sturt said he's never known a firearm to be discharged in a built-up area, particularly in broad daylight near where children are playing.

He said he's extremely disappointed and disgusted that such a violent gang dispute would take place in a central city park.

"This council has spent inordinate's amounts of money to improve it and to make it a family and child friendly place. It just disgusts me."

Mr Sturt believes a child or innocent bystander could have been hurt, and says he hopes this incident is a one-off.