Police have cordoned off part of the street.
A bomb disposal team carried out a controlled explosion tonight after a potentially suspicious item was found in Holyrood Road this afternoon.
Police sealed off part of the road outside the Holyrood 9A pub, between St Mary's Street and a block of student accommodation.
A Police Scotland spokeswoman said: "Police were called at 1;35pm on Tuesday, December 17th to a report of a suspicious item found in Holyrood Road, Edinburgh.
"Police are at the scene and a cordon is in place as a precaution and the EOD (Explosive Ordnance Disposal) are attending to examine the item."
And in a statement released tonight, Police Scotland said the "potentially suspicious device" - not deemed by police or bomb disposal teams to pose any risk to the public - in Gullan's Close had been recovered.
Roads which had been closed in the surrounding area while emergency services attended the incident have now been reopened.
Detective Inspector Bruce Coutts said: "I would like to thank local residents, businesses and road users affected by this incident for their patience.
"We are continuing with inquiries to establish the full circumstances and a police presence will be retained in the area while this work is carried out."
Pictures shared on social media earlier today show the Royal Logistic Corps Bomb Disposal team in attendance on Holyrood Road.
Police were unable to provide any more details on what the item was.
The Scottish Fire and Rescue Service also attended.
Local buildings were evacuated due to the incident.
Among those asked to leave a neighbouring building was Kevin O'Sullivan, who reported that police have said there are potentially "two or three" items they are dealing with at the University of Edinburgh building on the road.
The number 6 Lothian bus service was diverted via the Canongate due to the road closure.
The council-run Edinburgh Travel News also tweeted that they are hearing the Canongate had been closed both ways, just at the roundabout outside of Parliament - but this has since reopened.