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Southern fire shift manager Tim Reynolds said fire services were called to the house in Chambers St at 11.50pm last night.
"When we arrived the house was well involved in fire."
Six appliances and the command unit from Dunedin attended, and were still on standby at 6am this morning to monitor hotspots.
He said one person was taken to hospital where they were treated for minor smoke inhalation.
There were no details on the cause, and a fire investigator would attend the scene this morning, he said.