Twenty fire engines and around 125 firefighters were called to a fire near Vallentin Road and Shernhall Street in Walthamstow.
The fire has affected one house, multiple gardens and sheds as well as a railway embankment.
There have been no reports of any injuries.
The incident produced a significant amount of smoke at its height. People in the area were advised to keep their windows and doors closed.
Assistant Commissioner Tom Goodall, who was at the scene, said: “This was a significant incident affecting the community. I am thankful that no injuries have been sustained.
“We worked with the local authority and our other partners to set up two rest centres for residents who were evacuated from their homes. They were provided with support and the majority of residents were able to return home that same night.
“We deployed a significant amount of resources to this fire and firefighters worked in hot and arduous conditions to bring it under control as swiftly as possible.
"One house was alight, and a second home has suffered damage to a rear extension. The gardens of around 30 properties have also unfortunately been affected by the fire. However, crews worked extremely hard to prevent the fire from spreading to further homes.
“A railway embankment was also alight and this caused disruption to the Weaver London Overground line. We worked closely with Transport for London and the British Transport Police to support passengers on stopped trains and all passengers left the railway that evening.
“The Brigade retained a significant presence on the scene through the night and the following day, working to fully extinguish the fire.”
Ten gas cylinders were cooled to an ambient temperature as some cylinders can explode when exposed to heat.
Motorists were advised to continue to avoid the area, including Wood Street, Shernhall Street and surrounding roads, as road closures are in place.
The Weaver Overground line was partially closed and faced significant disruption over the following days. A good service on the line has now resumed.
Control Officers received around 120 calls about the fire and Operation Willow Beck was temporarily stood up. Introduced in 2022 nationally by the Home Office and National Chiefs Fire Council, this is a pre-determined 999 call distribution procedure, which during times of extreme demand, can divert surplus emergency calls to unaffected fire and rescue service control rooms.
The Brigade received the first call at 1827 and Control Officers mobilised crews from Tottenham, Bethnal Green, Walthamstow, Chingford and surrounding fire stations to the scene.
The fire was brought under control by 2235.
A 32-metre turntable ladder remains in attendance and has been deployed as a water tower to help extinguish the fires from above. The Brigade's drone team are also on scene, providing the Incident Commander with a greater situational awareness.
The cause of the fire has been investigated by the Brigade's Fire Investigation team. The cause is most likely to have been accidental, caused by a falling branch striking wires on the railway.
Speaking on the investigation, Paul Eastland, London Fire Brigade Borough Commander for Waltham Forest, said: "Following an investigation by the Brigade's Fire Investigation Team, the fire in Walthamstow on Sunday is believed to have been caused by a tree that fell and came into contact with overhead power cables on the railway. The dry conditions and wind experienced on the day are thought to have contributed to the rapid spread of this fire. This fire has had a significant impact on many residents and we have been working alongside our partners to support the community in the aftermath. Local officers and crews, as well as our Community Engagement team, will continue to be available to provide support where needed."