One man is in critical condition in Waikato Hospital's Intensive Care Unit after an altercation at Papamoa on Saturday night.

The man, reported to be in his 40's, has been transferred from Tauranga Hospital to Waikato Hospital.

NZ Police have confirmed that a man has been arrested after punches flew at Fashion Island in Papamoa on Saturday night.

The incident happened about 1.30am. Two men were punched resulting in an ambulance attending.

People visiting Fashion Island on Sunday morning reported that Police have cordoned off part of the outside area and appear to be investigating the incident further.