The geology of the area is that of the Hinuera Formation, a group of alluvial silts, sands and gravels laid down in the Last Glacial Period.

[2] Originally largely marshland, it was transformed in the 19th century by a large-scale drainage scheme and is now fertile agricultural land and a major racehorse breeding area.

[3][4] When Peter Jackson began to look for suitable locations for The Lord of the Rings film series,[5] he first saw the Alexander Farm during an aerial search[4] in 1998[6] and concluded that the area was "like a slice of ancient England".

[5] Set Decorator Alan Lee commented that the location's hills "looked as though Hobbits had already begun excavations".

Further work included building the facades for 37 hobbit holes and associated gardens and hedges, a mill and double arch bridge, and erecting a 26-tonne (29-ton) oak above Bag End that was cut down near Matamata and recreated on site, complete with artificial leaves.

[7] The original set was not built to last, the hobbit hole facades having been constructed from untreated timber, ply and polystyrene and partially torn down after filming.

[6] Guided tours of the 5.5 hectares (14 acres) movie set site commenced in 2002[11] and continue to be provided daily.