diff --git a/blueprints/ember-cli-typescript/files/__root__/config/environment.d.ts b/blueprints/ember-cli-typescript/files/__config_root__/config/environment.d.ts
similarity index 100%
rename from blueprints/ember-cli-typescript/files/__root__/config/environment.d.ts
rename to blueprints/ember-cli-typescript/files/__config_root__/config/environment.d.ts
diff --git a/blueprints/ember-cli-typescript/index.js b/blueprints/ember-cli-typescript/index.js
index 715923845..623d986fa 100644
--- a/blueprints/ember-cli-typescript/index.js
+++ b/blueprints/ember-cli-typescript/index.js
@@ -32,7 +32,10 @@ module.exports = {
     let inRepoAddons = (this.project.pkg['ember-addon'] || {}).paths || [];
     let hasMirage = 'ember-cli-mirage' in (this.project.pkg.devDependencies || {});
     let isAddon = this.project.isEmberCLIAddon();
-    let includes = ['app', isAddon && 'addon', 'tests', 'types'].concat(inRepoAddons).filter(Boolean);
+    let isMU = this._detectMU();
+    let includes = isMU ? ['src'] : ['app', isAddon && 'addon'].filter(Boolean);
+
+    includes = includes.concat(['tests', 'types']).concat(inRepoAddons);
 
     // Mirage is already covered for addons because it's under `tests/`
     if (hasMirage && !isAddon) {
@@ -51,15 +54,24 @@ module.exports = {
           paths[`${appName}/mirage/*`] = [`${isAddon ? 'tests/dummy/' : ''}mirage/*`];
         }
 
-        if (isAddon) {
-          paths[`${appName}/*`] = ['tests/dummy/app/*', 'app/*'];
+        if (isMU) {
+          if (isAddon) {
+            paths[`${appName}/src/*`] = ['tests/dummy/src/*'];
+            paths[`${dasherizedName}/src/*`] = ['src/*'];
+          } else {
+            paths[`${appName}/src/*`] = ['src/*'];
+          }
         } else {
-          paths[`${appName}/*`] = ['app/*'];
-        }
-
-        if (isAddon) {
-          paths[dasherizedName] = ['addon'];
-          paths[`${dasherizedName}/*`] = ['addon/*'];
+          if (isAddon) {
+            paths[`${appName}/*`] = ['tests/dummy/app/*', 'app/*'];
+          } else {
+            paths[`${appName}/*`] = ['app/*'];
+          }
+
+          if (isAddon) {
+            paths[dasherizedName] = ['addon'];
+            paths[`${dasherizedName}/*`] = ['addon/*'];
+          }
         }
 
         for (let addon of inRepoAddons) {
@@ -79,11 +91,21 @@ module.exports = {
   },
 
   fileMapTokens(/*options*/) {
+    let isMU = this._detectMU();
+
     // Return custom tokens to be replaced in your files.
     return {
       __app_name__(options) {
         return options.inAddon ? 'dummy' : options.dasherizedModuleName;
       },
+
+      __config_root__(options) {
+        if (isMU) {
+          return options.inAddon ? 'tests/dummy' : '.';
+        } else {
+          return options.inAddon ? 'tests/dummy/app' : 'app';
+        }
+      }
     };
   },
 
@@ -138,6 +160,10 @@ module.exports = {
     return files;
   },
 
+  _detectMU() {
+    return this.project.isModuleUnification && this.project.isModuleUnification();
+  },
+
   _installPrecompilationHooks() {
     let pkgPath = `${this.project.root}/package.json`;
     let pkg = JSON.parse(fs.readFileSync(pkgPath, 'utf-8'));
diff --git a/index.js b/index.js
index 771ee58ac..8e254c81d 100644
--- a/index.js
+++ b/index.js
@@ -29,7 +29,7 @@ module.exports = {
   shouldIncludeChildAddon(addon) {
     // For testing, we have dummy in-repo addons set up, but e-c-ts doesn't depend on them;
     // its dummy app does. Otherwise we'd have a circular dependency.
-    return addon.name !== 'in-repo-a' && addon.name !== 'in-repo-b';
+    return !['in-repo-a', 'in-repo-b', 'in-repo-c'].includes(addon.name);
   },
 
   setupPreprocessorRegistry(type, registry) {
diff --git a/lib/commands/precompile.js b/lib/commands/precompile.js
index b6ab0c183..0a13d266f 100644
--- a/lib/commands/precompile.js
+++ b/lib/commands/precompile.js
@@ -45,10 +45,12 @@ module.exports = Command.extend({
           let compiled = declSource.replace(/\.d\.ts$/, '.js');
           this._copyFile(output, `${outDir}/${compiled}`, compiled);
 
-          // We can only do anything meaningful with declarations for files in addon/
+          // We can only do anything meaningful with declarations for files in addon/ or src/
           if (this._isAddonFile(declSource)) {
             let declDest = declSource.replace(/^addon\//, '');
             this._copyFile(output, `${outDir}/${declSource}`, declDest);
+          } else if (this._isSrcFile(declSource)) {
+            this._copyFile(output, `${outDir}/${declSource}`, declSource);
           }
         }
       }
@@ -60,7 +62,9 @@ module.exports = Command.extend({
   },
 
   _shouldCopy(source) {
-    return this._isAppFile(source) || this._isAddonFile(source);
+    return this._isAppFile(source)
+      || this._isAddonFile(source)
+      || this._isSrcFile(source);
   },
 
   _isAppFile(source) {
@@ -71,6 +75,10 @@ module.exports = Command.extend({
     return source.indexOf('addon') === 0;
   },
 
+  _isSrcFile(source) {
+    return source.indexOf('src') === 0;
+  },
+
   _copyFile(output, source, dest) {
     let segments = dest.split(/\/|\\/);
 
diff --git a/lib/incremental-typescript-compiler/index.js b/lib/incremental-typescript-compiler/index.js
index 1ea85bcab..cd3d1bc72 100644
--- a/lib/incremental-typescript-compiler/index.js
+++ b/lib/incremental-typescript-compiler/index.js
@@ -33,10 +33,22 @@ module.exports = class IncrementalTypescriptCompiler {
   }
 
   treeForHost() {
-    let appTree = new TypescriptOutput(this, {
-      [`${this._relativeAppRoot()}/app`]: 'app',
-    });
+    let appRoot = `${this._relativeAppRoot()}/app`;
+    let srcRoot = `${this._relativeAppRoot()}/src`;
+
+    let trees = {};
+    if (fs.existsSync(appRoot)) {
+      trees[appRoot] = 'app';
+    }
 
+    if (fs.existsSync(srcRoot)) {
+      // MU apps currently include tests in production builds, and it's not yet clear
+      // how those will be filtered out in the future. We may or may not wind up needing
+      // to do that filtering here.
+      trees[srcRoot] = 'app/src';
+    }
+
+    let appTree = new TypescriptOutput(this, trees);
     let mirage = this._mirageDirectory();
     let mirageTree = mirage && new TypescriptOutput(this, {
       [mirage]: 'app/mirage',
@@ -63,7 +75,16 @@ module.exports = class IncrementalTypescriptCompiler {
   treeForAddons() {
     let paths = {};
     for (let addon of this.addons) {
-      paths[`${this._relativeAddonRoot(addon)}/addon`] = addon.name;
+      let absoluteRoot = this._addonRoot(addon);
+      let relativeRoot = this._relativeAddonRoot(addon);
+
+      if (fs.existsSync(`${absoluteRoot}/addon`)) {
+        paths[`${relativeRoot}/addon`] = addon.name;
+      }
+
+      if (fs.existsSync(`${absoluteRoot}/src`)) {
+        paths[`${relativeRoot}/src`] = `${addon.name}/src`;
+      }
     }
     return new TypescriptOutput(this, paths);
   }
@@ -187,7 +208,7 @@ module.exports = class IncrementalTypescriptCompiler {
     }
   }
 
-  _relativeAddonRoot(addon) {
+  _addonRoot(addon) {
     let addonRoot = addon.root;
     if (addonRoot.indexOf(this.project.root) !== 0) {
       let packagePath = resolve.sync(`${addon.pkg.name}/package.json`, {
@@ -195,8 +216,11 @@ module.exports = class IncrementalTypescriptCompiler {
       });
       addonRoot = path.dirname(packagePath);
     }
+    return addonRoot;
+  }
 
-    return addonRoot.replace(this.project.root, '');
+  _relativeAddonRoot(addon) {
+    return this._addonRoot(addon).replace(this.project.root, '');
   }
 };
 
diff --git a/node-tests/blueprints/ember-cli-typescript-test.js b/node-tests/blueprints/ember-cli-typescript-test.js
index 3116b437e..85c8b7919 100644
--- a/node-tests/blueprints/ember-cli-typescript-test.js
+++ b/node-tests/blueprints/ember-cli-typescript-test.js
@@ -5,6 +5,7 @@ const path = require('path');
 const helpers = require('ember-cli-blueprint-test-helpers/helpers');
 const chaiHelpers = require('ember-cli-blueprint-test-helpers/chai');
 const Blueprint = require('ember-cli/lib/models/blueprint');
+const Project = require('ember-cli/lib/models/project');
 
 const ects = require('../../blueprints/ember-cli-typescript');
 
@@ -130,6 +131,108 @@ describe('Acceptance: ember-cli-typescript generator', function() {
       });
   });
 
+  describe('module unification', function() {
+    const originalIsMU = Project.prototype.isModuleUnification;
+
+    beforeEach(function() {
+      Project.prototype.isModuleUnification = () => true;
+    });
+
+    afterEach(function() {
+      Project.prototype.isModuleUnification = originalIsMU;
+    });
+
+    it('basic app', function() {
+      const args = ['ember-cli-typescript'];
+
+      return helpers
+        .emberNew()
+        .then(() => helpers.emberGenerate(args))
+        .then(() => {
+          const pkg = file('package.json');
+          expect(pkg).to.exist;
+
+          const pkgJson = JSON.parse(pkg.content);
+          expect(pkgJson.scripts.prepublishOnly).to.be.undefined;
+          expect(pkgJson.scripts.postpublish).to.be.undefined;
+          expect(pkgJson.devDependencies).to.include.all.keys('ember-data');
+          expect(pkgJson.devDependencies).to.include.all.keys('@types/ember-data');
+          expect(pkgJson.devDependencies).to.include.all.keys('ember-cli-qunit');
+          expect(pkgJson.devDependencies).to.include.all.keys('@types/ember-qunit', '@types/qunit');
+          expect(pkgJson.devDependencies).to.not.have.any.keys('@types/ember-mocha', '@types/mocha');
+
+          const tsconfig = file('tsconfig.json');
+          expect(tsconfig).to.exist;
+
+          const tsconfigJson = JSON.parse(tsconfig.content);
+          expect(tsconfigJson.compilerOptions.paths).to.deep.equal({
+            'my-app/tests/*': ['tests/*'],
+            'my-app/src/*': ['src/*'],
+            '*': ['types/*'],
+          });
+
+          expect(tsconfigJson.compilerOptions.inlineSourceMap).to.equal(true);
+          expect(tsconfigJson.compilerOptions.inlineSources).to.equal(true);
+
+          expect(tsconfigJson.include).to.deep.equal(['src/**/*', 'tests/**/*', 'types/**/*']);
+
+          const projectTypes = file('types/my-app/index.d.ts');
+          expect(projectTypes).to.exist;
+          expect(projectTypes).to.include(ects.APP_DECLARATIONS);
+
+          const environmentTypes = file('config/environment.d.ts');
+          expect(environmentTypes).to.exist;
+
+          const emberDataCatchallTypes = file('types/ember-data.d.ts');
+          expect(emberDataCatchallTypes).to.exist;
+        });
+    });
+
+    it('basic addon', function() {
+      const args = ['ember-cli-typescript'];
+
+      return helpers
+        .emberNew({ target: 'addon' })
+        .then(() => helpers.emberGenerate(args))
+        .then(() => {
+          const pkg = file('package.json');
+          expect(pkg).to.exist;
+
+          const pkgJson = JSON.parse(pkg.content);
+          expect(pkgJson.scripts.prepublishOnly).to.equal('ember ts:precompile');
+          expect(pkgJson.scripts.postpublish).to.equal('ember ts:clean');
+          expect(pkgJson.devDependencies).to.not.have.any.keys('ember-data');
+          expect(pkgJson.devDependencies).to.not.have.any.keys('@types/ember-data');
+          expect(pkgJson.devDependencies).to.include.all.keys('ember-cli-qunit');
+          expect(pkgJson.devDependencies).to.include.all.keys('@types/ember-qunit', '@types/qunit');
+          expect(pkgJson.devDependencies).to.not.have.any.keys('@types/ember-mocha', '@types/mocha');
+
+          const tsconfig = file('tsconfig.json');
+          expect(tsconfig).to.exist;
+
+          const tsconfigJson = JSON.parse(tsconfig.content);
+          expect(tsconfigJson.compilerOptions.paths).to.deep.equal({
+            'dummy/tests/*': ['tests/*'],
+            'dummy/src/*': ['tests/dummy/src/*'],
+            'my-addon/src/*': ['src/*'],
+            '*': ['types/*'],
+          });
+
+          expect(tsconfigJson.include).to.deep.equal(['src/**/*', 'tests/**/*', 'types/**/*']);
+
+          const projectTypes = file('types/dummy/index.d.ts');
+          expect(projectTypes).to.exist;
+          expect(projectTypes).not.to.include(ects.APP_DECLARATIONS);
+
+          const environmentTypes = file('tests/dummy/config/environment.d.ts');
+          expect(environmentTypes).to.exist;
+
+          const emberDataCatchallTypes = file('types/ember-data.d.ts');
+          expect(emberDataCatchallTypes).not.to.exist;
+        });
+    });
+  });
+
   it('in-repo addons', function() {
     const args = ['ember-cli-typescript'];
 
diff --git a/node-tests/commands/precompile-test.js b/node-tests/commands/precompile-test.js
index ef56df86a..cfd0b8005 100644
--- a/node-tests/commands/precompile-test.js
+++ b/node-tests/commands/precompile-test.js
@@ -47,4 +47,26 @@ describe('Acceptance: ts:precompile command', function() {
       expect(transpiled.content.trim()).to.equal(`export const testString = 'hello';`);
     });
   });
+
+  describe('module unification', function() {
+    it('generates .js and .d.ts files from the src tree', function() {
+      fs.ensureDirSync('src');
+      fs.writeFileSync('src/test-file.ts', `export const testString: string = 'hello';`);
+
+      let tsconfig = fs.readJSONSync('tsconfig.json');
+      tsconfig.include.push('src');
+      fs.writeJSONSync('tsconfig.json', tsconfig);
+
+      return ember(['ts:precompile'])
+        .then(() => {
+          let declaration = file('src/test-file.d.ts');
+          expect(declaration).to.exist;
+          expect(declaration.content.trim()).to.equal(`export declare const testString: string;`);
+
+          let transpiled = file('src/test-file.js');
+          expect(transpiled).to.exist;
+          expect(transpiled.content.trim()).to.equal(`export const testString = 'hello';`);
+        });
+    });
+  });
 });
diff --git a/package.json b/package.json
index a7c8e02b8..0018cb86b 100644
--- a/package.json
+++ b/package.json
@@ -120,7 +120,8 @@
     ],
     "paths": [
       "tests/dummy/lib/in-repo-a",
-      "tests/dummy/lib/in-repo-b"
+      "tests/dummy/lib/in-repo-b",
+      "tests/dummy/lib/in-repo-c"
     ]
   },
   "prettier": {
diff --git a/tests/dummy/lib/in-repo-c/index.js b/tests/dummy/lib/in-repo-c/index.js
new file mode 100644
index 000000000..aa8015e86
--- /dev/null
+++ b/tests/dummy/lib/in-repo-c/index.js
@@ -0,0 +1,10 @@
+/* eslint-env node */
+'use strict';
+
+module.exports = {
+  name: 'in-repo-c',
+
+  isDevelopingAddon() {
+    return true;
+  }
+};
diff --git a/tests/dummy/lib/in-repo-c/package.json b/tests/dummy/lib/in-repo-c/package.json
new file mode 100644
index 000000000..c475f8aab
--- /dev/null
+++ b/tests/dummy/lib/in-repo-c/package.json
@@ -0,0 +1,12 @@
+{
+  "name": "in-repo-c",
+  "keywords": [
+    "ember-addon"
+  ],
+  "dependencies": {
+    "ember-cli-babel": "*"
+  },
+  "devDependencies": {
+    "ember-cli-typescript": "*"
+  }
+}
diff --git a/tests/dummy/lib/in-repo-c/src/test-file.ts b/tests/dummy/lib/in-repo-c/src/test-file.ts
new file mode 100644
index 000000000..bc1d4fb02
--- /dev/null
+++ b/tests/dummy/lib/in-repo-c/src/test-file.ts
@@ -0,0 +1,4 @@
+// This should wind up in the addon tree
+const value: string = 'in-repo-c/src/test-file';
+
+export default value;
diff --git a/tests/dummy/src/test-file.ts b/tests/dummy/src/test-file.ts
new file mode 100644
index 000000000..de66dd8dc
--- /dev/null
+++ b/tests/dummy/src/test-file.ts
@@ -0,0 +1,4 @@
+// This should wind up in the app's src tree
+const value: string = 'dummy/src/test-file';
+
+export default value;
diff --git a/tests/dummy/src/ui/styles/.gitkeep b/tests/dummy/src/ui/styles/.gitkeep
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/unit/build-test.ts b/tests/unit/build-test.ts
index dfcb03e57..f10a01cf9 100644
--- a/tests/unit/build-test.ts
+++ b/tests/unit/build-test.ts
@@ -2,8 +2,10 @@ import { module, test } from 'qunit';
 
 import addonFileA from 'in-repo-a/test-file';
 import addonFileB from 'in-repo-b/test-file';
+import addonFileC from 'in-repo-c/src/test-file';
 import fileA from 'dummy/a';
 import fileB from 'dummy/b';
+import muFile from 'dummy/src/test-file';
 import shadowedFile from 'dummy/shadowed-file';
 
 module('Unit | Build', function() {
@@ -20,4 +22,12 @@ module('Unit | Build', function() {
   test('app files aren\'t shadowed by addons\' app tree files', function(assert) {
     assert.equal(shadowedFile, 'dummy/shadowed-file');
   });
+
+  test('MU app files wind up in the right place', function(assert) {
+    assert.equal(muFile, 'dummy/src/test-file');
+  });
+
+  test('MU addon files wind up in the right place', function(assert) {
+    assert.equal(addonFileC, 'in-repo-c/src/test-file');
+  });
 });
diff --git a/tsconfig.json b/tsconfig.json
index 52c442bd3..f9e4de09e 100644
--- a/tsconfig.json
+++ b/tsconfig.json
@@ -9,9 +9,11 @@
     "baseUrl": ".",
     "paths": {
       "dummy/tests/*": ["tests/*"],
+      "dummy/src/*": ["tests/dummy/src/*"],
       "dummy/*": ["tests/dummy/app/*", "tests/dummy/lib/in-repo-a/app/*", "tests/dummy/lib/in-repo-b/app/*"],
       "in-repo-a/*": ["tests/dummy/lib/in-repo-a/addon/*"],
-      "in-repo-b/*": ["tests/dummy/lib/in-repo-b/addon/*"]
+      "in-repo-b/*": ["tests/dummy/lib/in-repo-b/addon/*"],
+      "in-repo-c/src/*": ["tests/dummy/lib/in-repo-c/src/*"]
     }
   },
   "include": [