Spokane police eventually arrested the suspect, 40-year-old Donald T. Phillips, without incident. Phillips already had an outstanding Department of Corrections warrant, police said.
The stabbing happened around 3:30 p.m. at a transit station. The injured man died at the hospital. The suspect fled on foot. Soon after a homeowner in the neighborhood of Peaceful Valley called police to say he'd seen the suspect. A second homeowner called police as well, saying a man barged into his home and threatened him with a knife.
Police responded with numerous officers, dogs, air support and a SWAT team.
"Phillips has an extensive and violent criminal history," said Spokane police spokeswoman Teresa Fuller.
Officers ordered Peaceful Valley residents to stay indoors and not come out until contacted by police.
Shortly after 9 p.m., Phillips emerged from a home with different clothes. Officers encountered him and he was arrested. A SWAT team made their way to the area where Phillips had been and found a house fire. The team was able to put out the blaze. Authorities believe Phillips was involved in the fire, Fuller said.
Phillips was booked into Spokane County jail on his warrant and for investigation of homicide.
Fuller did not know Sunday if Phillips had an attorney.
There weren't any more details available on the stabbing victim.