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The Kingston Subdivision Action Group was formed after Kingston Community Association members learnt Kingston Village Ltd, which is planning a subdivision of 900-plus homes, intends to access it off Kent and Oxford Sts.
Residents had believed the developer planned an access road off State Highway 6.
They have raised concerns about the use of Kent St, which is the town's main street, and the possible effect on safety.
A public meeting was held in Kingston on Tuesday night, which community association secretary Christina Sharpe-McKay said attracted about 50 people.
''The PC version is: they're not very happy,'' she said of feedback from the crowd.
The action group was formed after the meeting, and the protest was organised yesterday.
Ms Sharpe-McKay said things needed to move fast, as the consent was set to be signed within a matter of days. ''We just want to be heard.''
Ms Sharpe-McKay said they were not opposed to the subdivision itself, but were against disruption to the community.
Kingston Village Ltd general manager, Sydney-based Dale Farnham, did not respond to a request for comment.
When contacted last week, he said he could understand residents' concerns but would not comment on the issue.
''We're talking with council on the matter and looking for a resolution, but I don't wish to comment any further outside of what comments council may be making.''
The subdivision is one of three in the Wakatipu earmarked for $76million of central government loan funding. Queenstown's council can borrow the money from the Housing Infrastructure Fund.
The protest will take place in Kingston on SH6 at noon on Saturday.