Man refused bail after Christmas tree fire

A man accused of threatening two people with a knife before setting a Christmas tree alight will remain in custody.

Damien Halpin was charged with malicious damage by fire and two counts of being armed with intent after emergency services were called to a fire at a Woolloomooloo unit in inner Sydney yesterday morning.

Police allege Halpin threatened two people at the unit complex with a knife before he set alight a Christmas tree, causing damage to the unit.

Firefighters extinguished the blaze before it could cause serious structural damage and Halpin was taken to hospital with non-life threatening injuries, police say.

He appeared at Parramatta Local Court this morning and was refused bail.

He is set to reappear at Central Local Court later this month.