RCMP in the Metro Vancouver told CBC News that material "explosive in nature" was found in the 30-storey building while police were conducting an ongoing investigation.
Investigators were executing a search warrant in a suite in the building. No one was home, but police found cocaine, cash, firearms and 10 sticks of dynamite.
Residents of the building in the 4200-block of Grange Street were ordered out of the building in the early evening Monday and offered shelter in a nearby recreation centre, police said.
"This is a very serious situation because we're talking about 10 sticks of dynamite inside a drug distribution facility, and this dynamite is old. It has become extremely unstable and it possibly can detonate if it's moved," Insp. Tim Shields of the Burnaby RCMP said
Police are still searching the building to make sure there are no more explosives inside. Residents should be allowed home within the next couple of hours.