New Zealand's capital city was rushing to complete its transformation into a haven for hairy feet and pointed ears on Tuesday as stars jetted in for the long-awaited world premiere of the first installment of the Hobbit trilogy.

Wellington, where director Peter Jackson and much of the post production is based, has renamed itself "the Middle of Middle Earth," as fans held costume parties and workers prepared to lay 500 meters of red carpet.

A specially Hobbit-decorated Air New Zealand jet brought in cast, crew and studio officials for the premiere.

Jackson, a one-time printer at a local newspaper and a hometown hero, said he was still editing the final version of the Hobbit, an Unexpected Journey ahead of Wednesday's premiere screening.

The Hobbit movies are based on John Tolkien's book and tell the story that leads up to his epic fantasy The Lord of the Rings, which Jackson made into three Oscar-winning films about 10 years ago.

It is set 60 years before The Lord of The Rings and was originally planned as only two movies before it was decided that there was enough material to justify a third.

New Zealand fans were getting ready to claim the best spots to see the film's stars, including British actor Martin Freeman, who plays the Hobbit Bilbo Baggins, Hugo Weaving, Cate Blanchett, and Elijah Wood.

"It's been a 10-year wait for these movies. New Zealand is Tolkien's spiritual home, so there's no way we're going to miss out," said office worker Alan Craig, a self-described Lord of the Rings "nut."

The second film The Hobbit: The Desolation of Smaug will be released in December next year.

The third The Hobbit: There and Back Again due in mid-July 2014.

Reuters