Emergency services rushed to the Merrylands shopping strip after reports that a man had stabbed multiple people before fleeing on foot
Paramedics treated three people for serious injuries, including a man aged in his thirties or forties who died at the scene, Police Superintendent Simon Glasser said.
The other two victims, a 22-year-old man and a 47-year-old woman, were taken to hospital in critical condition, he added.
Glasser said a man had been arrested a short time later following a police operation in the area.