Port Stephens Council considered a development application (DA) for the project on a 89-hectare site adjoining Newcastle Airport and Williamtown RAAF Base on Tuesday night.

The council must wait for the Department of Planning to approve an infrastructure plan before it gives the final nod.

But councillors were given the chance to indicate their support for the project and grant its general manager, Peter Gesling, the right to give final approval.

James Garvey representing site developer Hunter Land said preliminary work could begin before Christmas if supported by councillors and subsequent approvals came through soon.

" This [development approval] is what we have worked towards for the last 15 months," Mr Garvey said.

"Once that's done we can move forward in terms of going to banks for finance and seeing the development come out of the ground."

The centre will include a 103-lot commercial aviation precinct, an improved taxiway between Newcastle Airport and the RAAF runway, a hotel and a function centre.

Global aviation companies are expected to flock to the proposed commercial centre at Williamtown to support the maintenance of the Joint Strike Fighter (JSF) when it arrives at the Williamtown RAAF base in 2017.

But Mr Garvey said they would want to see the project approved before committing to the area.

He said Williamtown would no longer be competing nationally, but internationally once the development was in place.

"We will be competing with places like Japan, Malaysia and Singapore for JSF maintenance," he said.

During construction the development could create more than 2500 jobs while 8500 people could be employed at the new aviation hub and the RAAF by the time the development is finished.

In terms of obstacles an ongoing legal issue with drainage could stifle immediate progress with the project.

But the council's head planner David Broyd said everything possible was being done to resolve the issue.

"This is the single biggest job creating project we will deal with...it is a legally complicated issue and we are giving it the highest priority."