SAINSBURY'S is planning to open a 12,000 sq ft superstore with parking for 90 cars in Westgate.
The company hopes to build on land it bought in December at the former Hundreds Farm site in Canterbury Road.
The firm says that 150 jobs would be created.
Despite the Westgate Co-op supermarket and BP Marks & Spencer all being within a mile, a Tesco Metro being built at Westbrook and proposals for a Tesco superstore at the Arlington site in Margate, plus two Co-op supermarkets in nearby Birchington, Sainsbury's spokesman David Hoare said the company had identified Westgate "as an area that currently isn't well served by a conveniently located supermarket".
Mr Hoare would not say when he envisaged the store opening, commenting: "The project is at a very early stage. Public consultation on the proposals is just beginning."
Mike van den Berg, regional development surveyor, said: "We are excited about our proposals for Westgate-on-Sea and believe that the new store would greatly improve choice for local shoppers.
"We hope to meet residents at the public exhibition, discuss the proposals and listen to feedback on our plans."
On Tuesday a representative from the company rang Westgate ward councillors Tom King and Simon Moores and Birchington South councillor Alasdair Bruce.
All three expressed their concerns to the Isle of Thanet Gazette centred on three issues: the effect on trade in Birchington and Westgate, the proximity of nearby supermarkets and the effect of added traffic either on to the Canterbury Road or on to Linksfield Road.
Mr King, who is also chairman of Westgate and Westbrook Residents' Association said the plan was "not viable", warning that Westgate was in danger of becoming a "ghost town like Margate".
He said: "Once the small shops are gone, they are never coming back."
He also drew attention to a previous planning application, unconnected with Sainsbury's, for apartments and 14 houses that had been submitted for the site.
He said Kent Highways would not allow an entrance on to the Canterbury Road as it was considered too dangerous, especially for motorists from Birchington turning right across oncoming traffic.
He described access to the supermarket via Linksfield Road as "intolerable" for residents.
He said: "I'll be very interested to see where Sainsbury's exit and entrance is planned."
He also warned that the store was unlikely to have progressed plans so far without preplanning advice from officers at Thanet council saying: "They would clear obstructions out of the way first."
Mr Moores also voiced concerns about road safety, adding: "In Birchington and Westgate we are lucky enough to protect our local shops, which are doing OK in difficult circumstances. This is not appropriate."
Mr Bruce warned against "jumping to conclusions" but deemed the proposal "a great concern to our embattled high streets and a nightmare from a traffic point of view". A website, www.sainsburys- westgateonsea.co.uk is planned to go live today (Friday), outlining the plans.
A two-day public exhibition about the proposal will be staged at the Ursuline College in Canterbury Road on Friday, February 10 between 5pm and 8pm and on Saturday, February 11, between 10am and 4pm. Also see Sainsbury's advert page 7.