diff --git a/src/generators/nodes/Element.ts b/src/generators/nodes/Element.ts
index 0bc180e8d1..306fea312a 100644
--- a/src/generators/nodes/Element.ts
+++ b/src/generators/nodes/Element.ts
@@ -147,6 +147,8 @@ export default class Element extends Node {
 			block.addDependencies(this.spread.metadata.dependencies);
 		}
 
+		this.isComponentTarget = this.name === 'svelte:target';
+
 		this.var = block.getUniqueName(
 			this.name.replace(/[^a-zA-Z0-9_$]/g, '_')
 		);
@@ -185,7 +187,9 @@ export default class Element extends Node {
 			parentNode;
 
 		block.addVariable(name);
-		const renderStatement = getRenderStatement(this.generator, this.namespace, this.name);
+		const renderStatement = this.isComponentTarget ?
+			`#component.options.target` :
+			getRenderStatement(this.generator, this.namespace, this.name);
 		block.builders.create.addLine(
 			`${name} = ${renderStatement};`
 		);
@@ -203,20 +207,22 @@ export default class Element extends Node {
 			}
 		}
 
-		if (initialMountNode) {
-			block.builders.mount.addLine(
-				`@appendNode(${name}, ${initialMountNode});`
-			);
+		if (!this.isComponentTarget) {
+			if (initialMountNode) {
+				block.builders.mount.addLine(
+					`@appendNode(${name}, ${initialMountNode});`
+				);
 
-			if (initialMountNode === 'document.head') {
+				if (initialMountNode === 'document.head') {
+					block.builders.unmount.addLine(`@detachNode(${name});`);
+				}
+			} else {
+				block.builders.mount.addLine(`@insertNode(${name}, #target, anchor);`);
+
+				// TODO we eventually need to consider what happens to elements
+				// that belong to the same outgroup as an outroing element...
 				block.builders.unmount.addLine(`@detachNode(${name});`);
 			}
-		} else {
-			block.builders.mount.addLine(`@insertNode(${name}, #target, anchor);`);
-
-			// TODO we eventually need to consider what happens to elements
-			// that belong to the same outgroup as an outroing element...
-			block.builders.unmount.addLine(`@detachNode(${name});`);
 		}
 
 		// TODO move this into a class as well?
@@ -785,6 +791,10 @@ export default class Element extends Node {
 	}
 
 	remount(name: string) {
+		if (this.isComponentTarget) {
+			return '';
+		}
+
 		const slot = this.attributes.find(attribute => attribute.name === 'slot');
 		if (slot) {
 			return `@appendNode(${this.var}, ${name}._slotted.${this.getStaticAttributeValue('slot')});`;
diff --git a/src/validate/html/validateElement.ts b/src/validate/html/validateElement.ts
index 2a32769797..2d0e58689a 100644
--- a/src/validate/html/validateElement.ts
+++ b/src/validate/html/validateElement.ts
@@ -85,6 +85,15 @@ export default function validateElement(
 		});
 	}
 
+	if (node.name === 'svelte:target') {
+		if (node.children.length > 0) {
+			validator.error(node.children[0], {
+				code: `illegal-structure`,
+				message: `<svelte:target> cannot have children`
+			});
+		}
+	}
+
 	let hasIntro: boolean;
 	let hasOutro: boolean;
 	let hasTransition: boolean;
diff --git a/test/js/samples/target-attributes/expected-bundle.js b/test/js/samples/target-attributes/expected-bundle.js
new file mode 100644
index 0000000000..d5fcc8d2bb
--- /dev/null
+++ b/test/js/samples/target-attributes/expected-bundle.js
@@ -0,0 +1,171 @@
+function noop() {}
+
+function assign(tar, src) {
+	for (var k in src) tar[k] = src[k];
+	return tar;
+}
+
+function setAttribute(node, attribute, value) {
+	node.setAttribute(attribute, value);
+}
+
+function blankObject() {
+	return Object.create(null);
+}
+
+function destroy(detach) {
+	this.destroy = noop;
+	this.fire('destroy');
+	this.set = this.get = noop;
+
+	if (detach !== false) this._fragment.u();
+	this._fragment.d();
+	this._fragment = this._state = null;
+}
+
+function _differs(a, b) {
+	return a != a ? b == b : a !== b || ((a && typeof a === 'object') || typeof a === 'function');
+}
+
+function fire(eventName, data) {
+	var handlers =
+		eventName in this._handlers && this._handlers[eventName].slice();
+	if (!handlers) return;
+
+	for (var i = 0; i < handlers.length; i += 1) {
+		var handler = handlers[i];
+
+		if (!handler.__calling) {
+			handler.__calling = true;
+			handler.call(this, data);
+			handler.__calling = false;
+		}
+	}
+}
+
+function get() {
+	return this._state;
+}
+
+function init(component, options) {
+	component._handlers = blankObject();
+	component._bind = options._bind;
+
+	component.options = options;
+	component.root = options.root || component;
+	component.store = component.root.store || options.store;
+}
+
+function on(eventName, handler) {
+	var handlers = this._handlers[eventName] || (this._handlers[eventName] = []);
+	handlers.push(handler);
+
+	return {
+		cancel: function() {
+			var index = handlers.indexOf(handler);
+			if (~index) handlers.splice(index, 1);
+		}
+	};
+}
+
+function set(newState) {
+	this._set(assign({}, newState));
+	if (this.root._lock) return;
+	this.root._lock = true;
+	callAll(this.root._beforecreate);
+	callAll(this.root._oncreate);
+	callAll(this.root._aftercreate);
+	this.root._lock = false;
+}
+
+function _set(newState) {
+	var oldState = this._state,
+		changed = {},
+		dirty = false;
+
+	for (var key in newState) {
+		if (this._differs(newState[key], oldState[key])) changed[key] = dirty = true;
+	}
+	if (!dirty) return;
+
+	this._state = assign(assign({}, oldState), newState);
+	this._recompute(changed, this._state);
+	if (this._bind) this._bind(changed, this._state);
+
+	if (this._fragment) {
+		this.fire("state", { changed: changed, current: this._state, previous: oldState });
+		this._fragment.p(changed, this._state);
+		this.fire("update", { changed: changed, current: this._state, previous: oldState });
+	}
+}
+
+function callAll(fns) {
+	while (fns && fns.length) fns.shift()();
+}
+
+function _mount(target, anchor) {
+	this._fragment[this._fragment.i ? 'i' : 'm'](target, anchor || null);
+}
+
+function _unmount() {
+	if (this._fragment) this._fragment.u();
+}
+
+var proto = {
+	destroy,
+	get,
+	fire,
+	on,
+	set,
+	_recompute: noop,
+	_set,
+	_mount,
+	_unmount,
+	_differs
+};
+
+/* generated by Svelte vX.Y.Z */
+
+function create_main_fragment(component, state) {
+	var svelte_target, svelte_target_href_value;
+
+	return {
+		c: function create() {
+			svelte_target = component.options.target;
+			this.h();
+		},
+
+		h: function hydrate() {
+			svelte_target.className = "addedClass";
+			setAttribute(svelte_target, "href", svelte_target_href_value = "/element/" + state.element + "/" + state.id);
+		},
+
+		m: noop,
+
+		p: function update(changed, state) {
+			if ((changed.element || changed.id) && svelte_target_href_value !== (svelte_target_href_value = "/element/" + state.element + "/" + state.id)) {
+				setAttribute(svelte_target, "href", svelte_target_href_value);
+			}
+		},
+
+		u: noop,
+
+		d: noop
+	};
+}
+
+function SvelteComponent(options) {
+	init(this, options);
+	this._state = assign({}, options.data);
+
+	this._fragment = create_main_fragment(this, this._state);
+
+	if (options.target) {
+		this._fragment.c();
+		this._mount(options.target, options.anchor);
+	}
+}
+
+assign(SvelteComponent.prototype, proto);
+
+export default SvelteComponent;
diff --git a/test/js/samples/target-attributes/expected.js b/test/js/samples/target-attributes/expected.js
new file mode 100644
index 0000000000..5b9246ba98
--- /dev/null
+++ b/test/js/samples/target-attributes/expected.js
@@ -0,0 +1,45 @@
+/* generated by Svelte vX.Y.Z */
+import { assign, init, noop, proto, setAttribute } from "svelte/shared.js";
+
+function create_main_fragment(component, state) {
+	var svelte_target, svelte_target_href_value;
+
+	return {
+		c: function create() {
+			svelte_target = component.options.target;
+			this.h();
+		},
+
+		h: function hydrate() {
+			svelte_target.className = "addedClass";
+			setAttribute(svelte_target, "href", svelte_target_href_value = "/element/" + state.element + "/" + state.id);
+		},
+
+		m: noop,
+
+		p: function update(changed, state) {
+			if ((changed.element || changed.id) && svelte_target_href_value !== (svelte_target_href_value = "/element/" + state.element + "/" + state.id)) {
+				setAttribute(svelte_target, "href", svelte_target_href_value);
+			}
+		},
+
+		u: noop,
+
+		d: noop
+	};
+}
+
+function SvelteComponent(options) {
+	init(this, options);
+	this._state = assign({}, options.data);
+
+	this._fragment = create_main_fragment(this, this._state);
+
+	if (options.target) {
+		this._fragment.c();
+		this._mount(options.target, options.anchor);
+	}
+}
+
+assign(SvelteComponent.prototype, proto);
+export default SvelteComponent;
\ No newline at end of file
diff --git a/test/js/samples/target-attributes/input.html b/test/js/samples/target-attributes/input.html
new file mode 100644
index 0000000000..aa1387948e
--- /dev/null
+++ b/test/js/samples/target-attributes/input.html
@@ -0,0 +1 @@
+<svelte:target class="addedClass" href="/element/{element}/{id}"/>
diff --git a/test/js/samples/target-event-handler/expected-bundle.js b/test/js/samples/target-event-handler/expected-bundle.js
new file mode 100644
index 0000000000..c5a1984990
--- /dev/null
+++ b/test/js/samples/target-event-handler/expected-bundle.js
@@ -0,0 +1,183 @@
+function noop() {}
+
+function assign(tar, src) {
+	for (var k in src) tar[k] = src[k];
+	return tar;
+}
+
+function addListener(node, event, handler) {
+	node.addEventListener(event, handler, false);
+}
+
+function removeListener(node, event, handler) {
+	node.removeEventListener(event, handler, false);
+}
+
+function blankObject() {
+	return Object.create(null);
+}
+
+function destroy(detach) {
+	this.destroy = noop;
+	this.fire('destroy');
+	this.set = this.get = noop;
+
+	if (detach !== false) this._fragment.u();
+	this._fragment.d();
+	this._fragment = this._state = null;
+}
+
+function _differs(a, b) {
+	return a != a ? b == b : a !== b || ((a && typeof a === 'object') || typeof a === 'function');
+}
+
+function fire(eventName, data) {
+	var handlers =
+		eventName in this._handlers && this._handlers[eventName].slice();
+	if (!handlers) return;
+
+	for (var i = 0; i < handlers.length; i += 1) {
+		var handler = handlers[i];
+
+		if (!handler.__calling) {
+			handler.__calling = true;
+			handler.call(this, data);
+			handler.__calling = false;
+		}
+	}
+}
+
+function get() {
+	return this._state;
+}
+
+function init(component, options) {
+	component._handlers = blankObject();
+	component._bind = options._bind;
+
+	component.options = options;
+	component.root = options.root || component;
+	component.store = component.root.store || options.store;
+}
+
+function on(eventName, handler) {
+	var handlers = this._handlers[eventName] || (this._handlers[eventName] = []);
+	handlers.push(handler);
+
+	return {
+		cancel: function() {
+			var index = handlers.indexOf(handler);
+			if (~index) handlers.splice(index, 1);
+		}
+	};
+}
+
+function set(newState) {
+	this._set(assign({}, newState));
+	if (this.root._lock) return;
+	this.root._lock = true;
+	callAll(this.root._beforecreate);
+	callAll(this.root._oncreate);
+	callAll(this.root._aftercreate);
+	this.root._lock = false;
+}
+
+function _set(newState) {
+	var oldState = this._state,
+		changed = {},
+		dirty = false;
+
+	for (var key in newState) {
+		if (this._differs(newState[key], oldState[key])) changed[key] = dirty = true;
+	}
+	if (!dirty) return;
+
+	this._state = assign(assign({}, oldState), newState);
+	this._recompute(changed, this._state);
+	if (this._bind) this._bind(changed, this._state);
+
+	if (this._fragment) {
+		this.fire("state", { changed: changed, current: this._state, previous: oldState });
+		this._fragment.p(changed, this._state);
+		this.fire("update", { changed: changed, current: this._state, previous: oldState });
+	}
+}
+
+function callAll(fns) {
+	while (fns && fns.length) fns.shift()();
+}
+
+function _mount(target, anchor) {
+	this._fragment[this._fragment.i ? 'i' : 'm'](target, anchor || null);
+}
+
+function _unmount() {
+	if (this._fragment) this._fragment.u();
+}
+
+var proto = {
+	destroy,
+	get,
+	fire,
+	on,
+	set,
+	_recompute: noop,
+	_set,
+	_mount,
+	_unmount,
+	_differs
+};
+
+/* generated by Svelte vX.Y.Z */
+
+var methods = {
+	handleClick() {
+		alert('Clicked.');
+	}
+};
+
+function create_main_fragment(component, state) {
+	var svelte_target;
+
+	function click_handler(event) {
+		component.handleClick();
+	}
+
+	return {
+		c: function create() {
+			svelte_target = component.options.target;
+			this.h();
+		},
+
+		h: function hydrate() {
+			addListener(svelte_target, "click", click_handler);
+		},
+
+		m: noop,
+
+		p: noop,
+
+		u: noop,
+
+		d: function destroy$$1() {
+			removeListener(svelte_target, "click", click_handler);
+		}
+	};
+}
+
+function SvelteComponent(options) {
+	init(this, options);
+	this._state = assign({}, options.data);
+
+	this._fragment = create_main_fragment(this, this._state);
+
+	if (options.target) {
+		this._fragment.c();
+		this._mount(options.target, options.anchor);
+	}
+}
+
+assign(SvelteComponent.prototype, proto);
+assign(SvelteComponent.prototype, methods);
+
+export default SvelteComponent;
diff --git a/test/js/samples/target-event-handler/expected.js b/test/js/samples/target-event-handler/expected.js
new file mode 100644
index 0000000000..60b2817dc3
--- /dev/null
+++ b/test/js/samples/target-event-handler/expected.js
@@ -0,0 +1,53 @@
+/* generated by Svelte vX.Y.Z */
+import { addListener, assign, init, noop, proto, removeListener } from "svelte/shared.js";
+
+var methods = {
+	handleClick() {
+		alert('Clicked.');
+	}
+};
+
+function create_main_fragment(component, state) {
+	var svelte_target;
+
+	function click_handler(event) {
+		component.handleClick();
+	}
+
+	return {
+		c: function create() {
+			svelte_target = component.options.target;
+			this.h();
+		},
+
+		h: function hydrate() {
+			addListener(svelte_target, "click", click_handler);
+		},
+
+		m: noop,
+
+		p: noop,
+
+		u: noop,
+
+		d: function destroy() {
+			removeListener(svelte_target, "click", click_handler);
+		}
+	};
+}
+
+function SvelteComponent(options) {
+	init(this, options);
+	this._state = assign({}, options.data);
+
+	this._fragment = create_main_fragment(this, this._state);
+
+	if (options.target) {
+		this._fragment.c();
+		this._mount(options.target, options.anchor);
+	}
+}
+
+assign(SvelteComponent.prototype, proto);
+assign(SvelteComponent.prototype, methods);
+export default SvelteComponent;
\ No newline at end of file
diff --git a/test/js/samples/target-event-handler/input.html b/test/js/samples/target-event-handler/input.html
new file mode 100644
index 0000000000..90993a3f26
--- /dev/null
+++ b/test/js/samples/target-event-handler/input.html
@@ -0,0 +1,11 @@
+<svelte:target on:click="handleClick()"/>
+
+<script>
+  export default {
+  	methods: {
+  		handleClick() {
+  			alert('Clicked.');
+  		}
+  	}
+  };
+</script>
diff --git a/test/validator/samples/target-children/errors.json b/test/validator/samples/target-children/errors.json
new file mode 100644
index 0000000000..fec9a9b987
--- /dev/null
+++ b/test/validator/samples/target-children/errors.json
@@ -0,0 +1,15 @@
+[{
+	"code": "illegal-structure",
+	"message": "<svelte:target> cannot have children",
+	"start": {
+		"line": 1,
+		"column": 15,
+		"character": 15
+	},
+	"end": {
+		"line": 3,
+		"column": 0,
+		"character": 22
+	},
+	"pos": 15
+}]
diff --git a/test/validator/samples/target-children/input.html b/test/validator/samples/target-children/input.html
new file mode 100644
index 0000000000..432f10722b
--- /dev/null
+++ b/test/validator/samples/target-children/input.html
@@ -0,0 +1,3 @@
+<svelte:target>
+  Foo
+</svelte:target>