After intersecting Courthouse Hill Road, the state highway crosses Dividing Creek and enters Worcester County.

MD 364 passes through more farmland, then reaches its northern terminus just beyond Cellar House Road on the edge of Pocomoke State Forest.

[1][2] The highway continues as Nassawango Road, a county highway that passes through the state forest and provides access to the Milburn Landing unit of Pocomoke River State Park.

[2][3] The first part of MD 364 to be paved was a segment north of Dividing Creek, which was built as a state aid road between 1912 and 1915.

[5] The state aid road was partially reconstructed and the remainder of the highway was under construction by 1933, with MD 364 completed in 1935.