Officers received the call just before 9 a.m. about a package located at the post office facility on 35th and South Vermont avenues, across the street from the University of Southern California.
All nearby businesses were evacuated, as bomb squad and fire and hazmat teams responded. The package turned out to be a box of Easter toys and candy that caught on fire.
Roads near USC were temporarily closed, but were back open by 10:50 a.m. Evacuations were also lifted, police said.
City News Service contributed to this report.