It happened around 11 p.m. on the unit block of East Walnut Lane.
Police said when they arrived at the scene, they found a woman on the ground with a gunshot wound to her hip.
Investigators said shortly after a man showed up and fired a single shot at police. According to police, a 14th District officer returned fire, striking the man at least three times.
Police transported both victims to Einstein Medical Center where both are listed in critical condition.
Officials said the incident remains under investigation.