Police shut down Sydney Airspace following #MartinPlace Siege

Police have confirmed a terrorist has taken hostages in a Sydney Cade and forced them to hold Islamic State Flags against the windows.

Australian Police have cordoned off Martin Place which is one of the main business areas.

Sydney Opera House has been evacuated, air space cleared, trains stopped and Harbour Bridge closed as hostage drama unfolds inside a cafe.

Armed officers are at the scene with advice from New South Wales Police to avoid the area.