BREAKING: Aircraft crashes into shops next to Essendon airport, burst in flames

Emerging reports from Melbourne suggests that a charter plane has crashed into a shopping centre next to Essendon Airport.

BREAKING: Aircraft crashes into shops next to Essendon Airport, burst in flames

According to Daily Mail, five people were onboard the Beechcraft charter plane to King Island, towards Tasmania.

Huge plumes of smoke could be seen billowing from the airport in the city's north on Tuesday morning after the plane crashed just before 9am.

BREAKING: Aircraft crashes into shops next to Essendon Airport, burst in flames

Witnesses said the plane got to about 100 feet, put out two mayday calls and then crashed.

The plane veered during take-off and crashed into shops at the Direct Factory Outlet (DFO) outlet mall, and into the Spotlight store.

The shopping centre opens at 10am.

BREAKING: Aircraft crashes into shops next to Essendon Airport, burst in flames

The area is being evacuated and surrounding roads will be affected for some time, police said.

'There is constant explosions going off, there is black smoke billowing into the sky,' one caller told 3AW on Tuesday.

Motorists on the nearby Tullamarine freeway have posted videos and pictures of black smoke pouring out from the side of the DFO building.