Police were called to a party at a flat in St Annes, where murder accused Dyson Allen was living, the year before a fatal fire broke out at another party in Freckleton, killing four siblings.
Preston Crown Court heard smoke detectors went off at the party and at one stage three men were spraying flaming aerosols around a bedroom.
Allen, 19, of no fixed address, was living at the flat at the time, along with Chloe Marshall, her sister and father. The court heard a TV was thrown out of a window and at one stage an unnamed man was threatening party goers with a hammer.
One teenager, who was staying at the flat on the night of the party, said she woke to see three men come into the room where she slept.
One of the men was spraying a lit can of deodorant around and although she did not know his name she could identify him as a man who was going out with a girl she knew.
Earlier in the evening a number of people had evacuated the property after the smoke alarms went off and word went round there was a fire in one of the bedrooms.
In a police statement, Allen admitted being present at the party. He also admitted being present at an incident in 2009 in which a fire was started in a school locker in a classroom.
Allen denies four counts of murder and four of manslaughter after Reece Smith, 19, his twin sisters Ella and Holly, four and borther Jordan, two, died in a fire at a house in Lytham Road, Freckleton.