Mukilteo was used during World War II as an auxiliary fueling facility, due to its proximity to the newly built Snohomish County Airport (now Paine Field).

It is also a major transportation hub, with connections to Whidbey Island via the Washington State Ferries system, Sounder commuter trains to Seattle, and public transit services to nearby cities.

[8] After its 1853 establishment, the Washington territorial government looked to negotiate treaties with the local tribes of the Puget Sound region to secure land for settlement.

[14] The two men established a store and saloon on the southwest side of Point Elliott,[15] which was renamed to Mukilteo in 1860 by Fowler, using an anglicized name of the Lushootseed campsite.

[14] The town was relocated to another, more protected side of Point Elliott and supported the regional lumber industry, including regular shipments to Whidbey Island and a sawmill of its own.

[9][14] Mukilteo was planned to become the largest port on Possession Sound, with a summer resort accessible by steamship, but the efforts ceased after the establishment of nearby Everett by East Coast industrialists.

[21][22] Following the 1890s economic depression, the town experienced a major employment and population boom, with a larger lumber mill and gunpowder factory both built along the shore.

[32] After the United States entered World War II, the site of the former lumber mill was acquired by the federal government and rebuilt as a 1,500-foot-long (460 m) ammunition loading dock for warships.

[33] The recently built Snohomish County Airport (later renamed Paine Field) southeast of the city was converted into a military base while retaining some civilian uses, including passenger service provided by Alaska Airlines.

[35][36][37] On April 29, 1947, Mukilteo residents voted 223 to 137 in favor of incorporating as a fourth-class city and elected school administrator Alfred Tunem as its first mayor.

[26] The area experienced additional population and commercial growth after the opening of Boeing's Paine Field factory for passenger jetliners in 1967, which was connected to Mukilteo by a short railroad along the floor of Japanese Gulch.

[47] The annexation was also influenced by the county government's plans to allow passenger flights from Paine Field, which residents in Mukilteo and Harbour Pointe opposed alongside other nearby cities.

[53] The geographic and commercial center of Mukilteo was shifted further south towards Harbour Pointe, leading to cultural clashes with residents of older neighborhoods.

[27] An agreement to transfer ownership of the Mukilteo Lighthouse from the U.S. Coast Guard to the city government was signed in 1999 after a decade of partial use as a museum by the local historical society.

[65] A research station for the Northwest Fisheries Science Center (part of NOAA) on the tank farm site was closed in 2020 and planned to be demolished in 2020 until the onset of the COVID-19 pandemic halted work.

[68] The city government and Port of Everett has long-term plans to redevelop 26 acres (11 ha) of space around the old ferry terminal and NOAA facility into a walkable neighborhood with a waterfront promenade and trails.

[72] The Mukilteo shooting—along with other high-profile mass shootings during the 2010s—was cited as the inspiration for an assault weapons restriction that was rejected by the state legislature and passed by voters in 2018 as Initiative 1639.

Mukilteo's southern border, also facing unincorporated neighborhoods, is defined by Beverly Park Road, the Picnic Point Ravine, and Hulk Creek, which drains into Possession Sound.

[79] Mukilteo also has a designated urban growth area that extends south to 148th Street Southwest, bordering Lynnwood, and east to State Route 99.

[88] With the exception of Old Town Mukilteo, the city is divided into several large neighborhoods that are named for various developed subdivisions that were annexed in the late 20th century.

The city's landmark lighthouse is located on Point Elliott at the northwest corner of Old Town, adjacent to the Washington State Ferries terminal and commuter train station.

[94] Mukilteo's largest neighborhood is Harbour Pointe, located on 2,341 acres (947 ha) in the south-central part of the city between Possession Sound and State Route 525.

[95][99] A public marina was proposed for the development's Chenault Beach section in 1983, but was rejected due to concerns from fisheries officials over potential impacts on Indian fishing.

[27][98] Mukilteo has a general climate similar to most of the Puget Sound lowlands, with dry summers and mild, rainy winters moderated by a marine influence from the Pacific Ocean.

[120] Mukilteo was previously recognized in 2006 by BusinessWeek magazine as one of the best affordable suburbs due to lower housing prices compared to King County cities and its low crime rate.

[135] Mukilteo's city hall is located in Harbour Pointe and was constructed in 2008, costing $8.5 million and integrating recycled materials and other environmentally friendly features.

[136] The city hall was formerly housed at the Rosehill Community Center in Old Town and was temporarily moved to a leased Harbour Pointe warehouse in 1992 to accommodate more employees.

[151] Mukilteo's parks are maintained by a city department that is also tasked with organizing recreational programs for citizens; it was funded by a 1996 ballot measure that was approved by voters.

[161] The city's largest conservation area, Big Gulch, is located near Harbour Pointe and comprises 180 acres (73 ha) of protected land and 2.5 miles (4.0 km) of trails.

[199] Community Transit's buses include local routes connecting Mukilteo and Harbour Pointe to Lynnwood and the Boeing Everett Factory.