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Sergeant Chris McLellan, of the Dunedin proactive policing team, led a dozen officers in the search of a yard on the corner of Sinclair Rd and Dukes Rd North yesterday.
He said the property was a ''chop shop'' linked to a spate of vehicle thefts in and around Dunedin.
Three men were wanted in relation to the offending and it was likely others would be implicated in the ongoing investigation.
''A group of people was stealing cars to order, chopping them down and selling parts to the highest bidder, then selling the unidentifiable shells to an auto dismantler. It appears to be a reasonably sized operation,'' he said.
''We are looking for people involved in stealing, as well as those involved in on-selling or receiving stolen parts.''
The remains of two commercial trucks and six ''performance'' vehicles were located at the property yesterday.
Sgt McLellan said all had been identified as stolen and were collectively worth more than $70,000.
''We found chassis numbers, log books and owner/operator manuals on site,'' he said.
Among the performance vehicles were a Toyota Starlet and Nissan Skyline.
Reilly's Towage and Salvage trucks removed vehicles from the property on police orders.
A ''significant amount'' of equipment used to dismantle vehicles was also found at the yard, including bolt cutters, gas cutters and grinders.
''As a result, we are now following positive lines of inquiry. We have linked the sale of stolen motors through to an auto dismantler in the city [Dunedin] and are completing further inquiries in regards to that,'' Sgt McLellan said.
The three male suspects identified by police would be ''well aware'' officers were looking for them, he said.
In the last month, Dunedin police had noticed a spate of vehicles reported as missing, and not found.
Sgt McLellan said car thieves ''typically'' took stolen vehicles for joy rides before dumping them, so it was ''highly unusual'' for missing vehicles not to be located.
Social media provided police with a ''breakthrough'' in the investigation, he said.
''The use of social media and people commenting about things meant staff were able to work on some assumptions and use it [social media] as a form of investigation.''
He said some of the legitimate owners of stolen vehicles had been contacted and were happy to learn their property had been recovered, although only one car was intact.
''Unfortunately, the rest have been chopped up,'' Sgt McLellan said.
Six officers were involved in the ongoing investigation.
''The chop shop has now been stopped and, in due course, we expect to make arrests,'' he said.