Holbytlan

Holbytla (pl. Holbytlan) means "hole-builder", referring to their habit of dwelling in holes dug into hills and banks. To the Northmen and Rohirrim, they were only creatures of legend. In truth, in the distant past, the Halflings had lived alongside Men in the northern Vales of Anduin. They shared the Mannish language of the Big Folk among whom they lived. Perhaps the River Hobbits of Lyndelby are the last descendants of those Holbytlan of old.

Lore

When Théoden met Peregrin Took and Meriadoc Brandybuck standing guard at Isengard on 5 March, T.A. 3019, he immediately connected them to the folklore creature although he noted that they weren't known to spout smoke from their mouths. He was corrected by Peregrin, who said that they preferred the term "Hobbit"