Update 5:34pm: Officials at the site have said the hazmat situation is now over and people can go back outside.

Update 4:30pm: During demolition an ammonia pipe was hit, which is what was released into the air. Crews are on site working to fix the problem.

Colonie Police are asking people to stay away from the area surrounding the former First Prize factory on Exchange Street in Colonie. Residents in the surrounding area reported a chemical smell earlier in the day. Police are not evacuating the immediate area, but are asking those who live within a mile of the factory to shelter in place and be sure doors and windows are closed.

Roads surrounding the building have been shut down hazmat teams are on the scene trying to determine what the cause of the odor.

The First Prize building has been abandoned since the 1980's and has fallen into disrepair over the years. Demolition on the building started a few weeks ago. Environmental cleanup has long been a concern in the area.

More info as we get it.

[NewsChannel 13]

Watch as Crews Demolish the Tobin's First Prize Center in Albany