The Cutty Sark's masts have been raised for the first time since the ship was ravaged by a fire four years ago.
A crane was used to lower the ship's foremast into place, in her permanent berth in Greenwich, south London.
The main mast will be hoisted on board later, and the final mast is expected to go up on Sunday.
It was a landmark day for the 19th-century tea clipper, which was gutted by a fire when it was in the early stages of being restored in May 2007.
Richard Doughty, director of the Cutty Sark, said: "It's extraordinary that we have got here five years on from when we took the first plank off and today we are stepping the masts.
"It's the moment when you erect the masts and today we are going to be putting in the foremast and the main mast. It's thrilling."
Later, Mr Doughty's five-year-old daughter Katrina will place a coin in the hole where the main mast will be secured to bring the ship good luck.
Mr Doughty said: "The Cutty Sark has ridden its luck, it's quite an extraordinary survivor. Now it's got a whole new journey in front of it.
"For people coming to Greenwich from this weekend onwards there will be a real sense that the Cutty Sark has arrived back in the town because the masts will be back here. That's what people have missed."
The Queen is due to officially open the ship at the end of April.