Shocking footage shows a topless man calmly pointing a black crossbow from his balcony in the town of Almelo on Friday.
Other unconfirmed videos show armed balaclava-clad police officers turning up to the block of flats with the sound of gunfire.
Local police said they were called to a stabbing incident at the Mth Steynstraat in Almelo where they found two people dead in a flat.
They added a third victim was injured whilst the suspect was arrested and injured.
— Heuvelrug Intelligence (@HillridgeOSINT) September 17, 2021
At 10am today, Overijssel police said they had attended an incident in connection with the attack and officers had fired shots.
They tweeted: “We are with many colleagues at a stabbing incident at the Mth Steynstraat in #Almelo.
“Colleagues had to use the firearm in this incident.
“The situation is not safe there at the moment. So do not come to this location.”
It is not yet clear if the victims were shot with the crossbow or if they were stabbed to death.
Forensics were seen placing cones around arrows strewn in the street.
Journalist Mark Mensink, reporting from the scene, said he saw a man being taken by police with a cherry picker.
Authorities raised the threat level to GRIP 3, meaning there was a threat to the well-being of the general population.
Police confirmed they were not assuming a terrorist motive behind the attack.