Wellington will host the world premiere of The Hobbit in November next year.
Sir Peter Jackson and Prime Minister John Key made the announcement at a special media briefing at Hobbiton today.
Crew are on their first week of filming on location at Hobbiton near Matamata and will spend the next seven weeks filming there and at other locations around the country.
Sir Peter told ONE News he was feeling confident as production hits the half-way mark.
"The only thing I can do is make a movie I would enjoy watvhing. That's what I've always done. I'm having fun," he said.
After 5 days filming at Hobbiton, Sir Peter and the crew are moving on to other locations.
The Hobbiton set, which was originally used to film Lord of the Ring, has been rebuilt, and will remain a tourist attraction once filming is completed.
- With Newstalk ZB