In recent decades, the relevance of the railway as a more sustainable alternative for (inter)national commuting has increased significantly. Moreover, contemporary railway stations are becoming not only important mobility hubs where national and local transportation systems are interlinked but also new city centres offering a variety of functions and attractive places to live and work. However, there are still missing links in the European railway network. One of them, the connection between Poland to Finland through the Baltic states will be implemented by 2030. After completion, Kaunas, the second largest city in Lithuania, will become an important railway node. The thesis investigates how to exploit the potential of the Rail Baltica project and use it as a catalyst for the development of the city. To achieve this, personal experiential knowledge is combined with the data-driven approach to propose a visionary plan for Kaunas railway station and its surroundings that would accelerate the transition towards sustainable, safe and accessible mobility for all and would integrate the area into the existing urban fabric. The proposal suggests that large blocks, similar to Kaunas New Town, could ensure the continuity of the urban fabric, integrate existing heritage into the new structure and allow phasing. The densification framework defines the parameters of each block, aiming for a higher density towards the mobility hub. In addition, changes in street network and profiles are suggested to prioritise public transport and active modes of mobility. The key elements of the masterplan are detailed including the mobility hub where both railway and bus stations are combined and the hub is expanded towards the opposite side of the railway tracks. Moreover, standards for new blocks and streets are defined to ensure high-quality development which promotes high-density neighbourhoods while preserving local identity and heritage. Lastly, the regional impact study is used as an evaluation tool. It concludes that due to the limits of population growth in Lithuania, there is a need for collaboration between Rail Baltica cities to develop their railway station areas in a way that would complement each other rather than compete.