The shopping centre was evacuated shortly after 1 p.m., but there was no evidence of any shooting, according to the Los Angeles Police Department (LAPD).
"If you are at the Century City Mall we ask that you remain calm and shelter in place until you receive instructions from the officers on scene," LAPD wrote on Twitter.
According to investigators, no injuries or casualties have been reported so far. Some people are locked inside stores inside the mall awaiting further orders from the police, local media reported.
Police are also investigating reports of a suspicious package inside the mall.
"Police responded to a radio call about a man with a gun at an unknown location inside the mall at 12:42 pm (local time)", LAPD Officer Jeff Lee said.
Police said that no evidence of shots fired have been found and are still searching for the suspect.
Other areas surrounding the mall have been placed on lockdown due to the incident as a precautionary measure.
"If you're sheltering in place within the Century City Mall you can begin to calmly exit the location. We ask that you remain calm and follow instructions of the officers at scene. We have NO evidence of a shooting or any victims at this time," read another tweet by the LAPD.
Further details are awaited.
The incident comes hours after mass shootings at two mosques took place in Christchurch, New Zealand, which killed 49 people and wounded 48 others.
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