Gardaí are investigating an incident of criminal damage at a business premises in Carlow town during the early hours of Monday.
The incident happened on Lower Tullow Street at around 2.30am.
A car was reversed into the front of the premises before the fire broke out.
Emergency services attended the scene, and residents from the apartments overhead were evacuated.
The blaze was later brought under control, with no injuries reported.
Road closures have been put in place in the area between Doyle's Corner and the Potato Market while an assessment of the scene is carried out.
In a statement, Gardaí confirmed officers are investigating the matter, adding that "significant damage was caused to the property".
Anyone with information regarding the incident has been asked to contact Carlow Garda station 059-913 6620.