The Terrace Station development is located immediately south of the Mountlake Terrace Transit Center adjacent to Interstate 5. The site was previously home to Evergreen Elementary and has been vacant since the school was demolished in 2010. This phase of the development includes running utilities to future building sites, as well as the constructing of Gateway Boulevard which will be the main thoroughfare that will connect Gateway Place on the south to 236th Street on the north. Mixed use buildings will be situated on either side of the boulevard. The boulevard will have a village type streetscape with plaza spaces and be pedestrian friendly. The first of three proposed buildings in this development began construction summer 2018.