Definition of "Terrace" :

noun: usually paved outdoor area adjoining a residence

noun: a row of houses built in a similar style and having common dividing walls (or the street on which they face)

"Grosvenor Terrace."

noun: a level shelf of land interrupting a declivity (with steep slopes above and below)

verb: make into terraces as for cultivation

"The Incas terraced their mountainous land."

verb: provide (a house) with a terrace