Video of the party was captured and uploaded to social media, which showed two men dancing on top of a van, music coming from a large speaker, a bubble machine and a deck chair set up on top of a van, with passers-by stopping to dance.

NSW Police Deputy Commissioner Gary Worboys said police had been contacted by concerned community members.

"Last night we saw a man with a van and some music equipment pull up near the CBD of Manly, down near South Steyne, and host what we would call is a pop-up party," he said. "The people who contacted police described it as a party in the street.

"When spoken to that young man tried to convince police that it was some sort of marketing strategy or exercise strategy when clearly it wasn't.

"That man was issued with an infringement notice despite that excuse that he used and was asked not to continue with that behaviour over the weekend."

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A police spokesperson said the party ran from 5-6pm and the vehicle had left the area before police attended and an investigation commenced.

Police then attended a home in Freshwater and spoke to a 23-year-old man, he will be issued a $1000 penalty infringement notice.

In the past 24 hours police have issued 164 infringement notices for breaking COVID rules and given more than 200 warnings.