Dane Crawford is a Maitland-born, Kurri Kurri-raised professional lifeguard who works part-time as a fireman who is stationed at Lambton.

He wants to be the proposed nightclub's first licensee.

Mr Crawford said his group's second application for the licence had put the city's youth at a crossroads.

"I believe the CBD is being strangled to death by a lack of diversity, and young people are slowly going to leave," he said.

"I get quite frustrated when people say they don't want noise in the CBD."

He said a friend asked him to be involved in the Kensington project and had since sunk "a lot of money for a 24-year-old" into the venue.