Mountlake Terrace was officially incorporated on November 30, 1954. Previously known as "Alderwood Manor," this area was first settled at the turn of the century when the logging industries flourished.
Subsequently the land was platted into ranches for the growing of mink, chinchillas, and poultry. The residential community of Mountlake Terrace began with the speculative construction of homes for returning WWII veterans and their young families. Within ten years the population had grown to 5,000 and a group of civic minded residents took steps to create a municipal government. The citizens enthusiastically set to work building a City Hall with a full range of services for its growing population.