The Mayor of Derry City and Strabane District Council Councillor John Boyle said: “This is a dark day for the people of Derry following a senseless and violent death on our streets.
“Lyra was a bright, intelligent and articulate writer with a witty, warm and fun loving personality.
“I will open a book of condolence for the public at 1 pm today in the Guildhall.”
Meanwhile, a vigil will be held at the Guildhall on this Good Friday evening at 5 pm for people to show their disgust at her senseless murder and pay their silent respect to Lyra, partner Sara, her family and wider friends.
Police say a lone gunman armed with a handgun came out of the shadows last night and fired ten shots at police lines.
It came after a night of serious rioting in Creggan when up to 50 petrol bombs were fired at police carrying out searches for dissident explosives and guns.
During the fusilande of gunfire, the 29-year-old journalist, who standing next to a police landrover, was struck by bullets.
She slumped to the ground near one of the wheels.
PSNI officers administered her first aid before rushing her by police landrover to Altnagelvin Hospital where she tragically lost her fight for life.As a result, police have launched a murder inquiry branding the attack as a “terrorist incident”.
Assistant Chief Constable for District Policing Mark Hamilton said: “Lyra McKee was murdered during orchestrated violence in Creggan last night.
“A single gunman fired shots in a residential area of the city and as a result wounded Ms McKee. Officers quickly administered first aid before transporting her in the back of a landrover to hospital.
“Tragically she died from her injuries. At this stage we believe her murder was carried out by a violent dissident republican.
“Our thoughts are very much with the family and friends of Ms McKee, who was a journalist based in Belfast.
“This murder demonstrates all too starkly that when terrorists bring violence and guns into the community, members of the public are placed in severe danger. It is abundantly clear that they do not care who they harm.
“Protecting the public is and will always be our priority. The searches were being carried out because we believed that firearms and explosives were being stored in the area.“We believe that dissident republicans have a number of attacks planned and we assess it is likely that these would have been used over the Easter period.
“As we began those searches just after 9pm a crowd gathered and before long upwards of 50 petrol bombs were thrown at officers. Two vehicles were also hijacked and set on fire.
“Coming up to 11pm we estimate there were about 100 people in the area including young people and members of the media. It was around this time that the gunman fired a number of shots.
“I am appealing for anyone who was in the area and could assist in either identifying the gunman or has information about where he went afterwards to contact detectives in the incident room on 101 and ask for extension 57074.
“You can also pass on whatever information you have to the Crimestoppers charity on freephone 0800 555 111.
“We are aware that footage from last night is circulating on social media.
“This is clearly distressing for the family of Ms McKee and the wider community.
“You can best assist the murder investigation by uploading any footage you have to the Major Incident Public Portal via the following link: https://mipp.police.uk/operation/PSNI19O09-PO1
“The shock over what happened here in this city last night is hanging heavy over the entire community today. As we move into the Easter weekend I would appeal for calm and ask everyone with influence in the community to work together to ensure there are no further acts of violence.”
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