Gunman has hostages in Indiana realty office

Standoff • Police block off nearby streets, surround the business about 40 miles southeast of Chicago.

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Valparaiso, Ind. • Police in the northwestern Indiana city of Valparaiso say a gunman is holding an unknown number of hostages inside a real estate office.

Valparaiso Police Sgt. Michael Grennes says officers have made contact with the gunman but don't know if anyone has been injured. Grennes won't say if the gunman has made any demands.

The Times of Munster reports the incident began Friday morning at a Prudential Executive Group Real Estate office. Police have blocked off nearby streets and officers with guns drawn have surrounded the business about 40 miles southeast of Chicago.

The newspaper reports FBI agents were seen entering the building.

Grennes says officers were called to the building after receiving a report of gunfire inside, but officers haven't yet confirmed whether shots have been fired.