A Qantas jumbo jet has made history, landing at a regional airport in New South Wales to become the first 747-400 in the world to go on public display.

The City of Canberra was retired to Wollongong after 25 years of service and will become a prized addition to an aviation museum based at Illawarra Regional Airport.

Thousands of people gathered in and around the small airport to watch the landing.

The crowd cheered and applauded as the Boeing 747-400 made a tricky landing on the short and narrow runway, which at 1,800 metres is less than half the length of Sydney Airport's runways.

Illawarra Airport's runway is also just 30 metres wide but the aircraft has a wingspan of 64 metres, so the two outside engines hung over the runway's edge on landing.

The Canberra left Sydney Airport and flew at just 4,000 feet and at a much slower speed than usual for its 15-minute hop down to Wollongong.

One of the pilots on the aircraft's final flight pokes his head out of the cockpit hatch after landing at Wollongong Airport. ( Supplied: Michael Samson )

The aircraft was met by a Qantas ground crew and tugged to its final position where the pilots disembarked.

Captain Greg Matthews handed the keys to the jumbo to the president of the Historical Aircraft Restoration Society, Bob De La Hunty.

The society has Australia's biggest collection of flying and static historic aircraft including a plane affectionately known as "Connie", a Lockheed Super Constellation originally built for the United States Air Force in 1955.

The plane is similar to the one used by Qantas during that period.

"It's a bit sentimental but it's going to a great home down here and we know it's going to be looked after by the society volunteers," Captain Matthews said.

"It's great for the local region, it's a great tourist attraction, and we know it's in good hands here.

"It's a very historic aircraft and it forms a huge part of Qantas' history and I'm just proud to have been involved in its last flight down here [Sunday]."

Some of the thousands of people who turned out to witness the event had camped near the airport since last Thursday.

The City of Canberra touches down at Illawarra Airport as thousands of people watch. ( ABC News: Justin Huntsdale )

Qantas pilot Greg Matthews hands over the keys of the City of Canberra to Bob De La Hunty. ( ABC: Emily Laurence )

The Canberra is the oldest aircraft in the Qantas fleet and holds the record for the longest ever non-stop commercial flight for its trip from London to Sydney in 1989.

Captain Rob Greenop was one of the four pilots who flew on that record-breaking flight, and he said he was happy the Canberra was not sent to a "plane graveyard" in the United States, as usually happens to decommissioned aircraft.

"It's sad to see the old girl put out to pasture but it's nice to see her here rather than the sands in Nevada waiting to be broken up," Captain Greenop said.

"It's great to be here from the beginning to the end."

The plane has flown 85 million kilometres, which is equivalent to 110 return trips to the moon.

Its last commercial flight was from Johannesburg to Sydney in January this year. The final crew signed their names on a wall inside the aircraft.

The Boeing 747s, fondly known as jumbos, were introduced in the early 1970s.

They revolutionised air travel as they could carry more people further, making flying more accessible, particularly for Australians.

Thousands of people watch as the City of Canberra makes its final flight into Illawarra Airport. ( ABC: TV News )