A man has been shot dead by police in Melbourne’s east.

The man, aged in his late 40s, was pointing a sawn-off shotgun at a bottleshop attendant in the leafy suburb of Park Orchards when police fired upon him, police said.

Acting Deputy Commissioner Ross Guenther said several police officers were investigating a string of armed robberies when they found the man attempting to rob the Park Road bottleshop about 9pm on Sunday.

“My understanding is that they’ve appeared at the bottleshop and they were in fear of the life of the attendant who was having a weapon pointed at him [so] they've discharged their firearm,” Acting Deputy Commissioner Guenther said.

“As a result of that, that male suspect is now deceased.”

The Age understands police have arrested two other suspects involved in the armed robbery and that several others may still be on the run.

Acting Deputy Commissioner Guenther said he did not believe the police officers were acting on specific intelligence that the store would be targeted.

The bottleshop, on the corner of Hopetoun Street, sits in a strip of half a dozen stores in a residential street boasting large homes, trees and nature reserves.

The robbery occurred about half an hour after the business’ advertised closing time of 8.30pm. The Age understands no shots were fired at the officers.

The dead man is yet to be formally identified but he is believed to be known to police.

At 12.55am Monday, the street remained closed in both directions. More than 40 uniformed police officers, forensic investigators, homicide and plain-clothed detectives ensured the scene was untouched, ready for the coroner.

At least one forensics van, four police vehicles and several unmarked cars remained at the scene.

Acting Deputy Commissioner Guenther said the police officers would provide statements, and also receive welfare support.

“It’s never good when someone loses their life. That’s never an outcome that we seek,” he said.

“But we do have an obligation to protect life as well and, from what I understand, that's exactly what’s occured tonight.”

Witness Michael Featherston wrote on social media that he had heard five to six shots.

Anyone with information is urged to contact Crime Stoppers on 1800 333 000.