I need help deciphering a pattern

The first pattern I’ve decided to do is quite the doozy, and I need help figuring out how to read it. For the first part it says
“Sl 1 wyib, knit to end, Inc 16 sts evenly spaced.across across- 159 sts.”

I thought originally that I increase the 16 sts at the end but now I’m thinking I was supposed to Inc throughout the row. Which is correct?

Also I’m going to upload a picture of the pattern. I’m not sure how to do the leaf lace stich in the pattern. Could someone please explain the next part of the pattern after the increase 16 sts row?

Thank you so much!

Welcome to KnittingHelp!
Increase approximately evenly over the entire row. You’ll be increasing about one stitch every 8 sts.
Work the set up row so that you have 4sts, marker, 151sts, marker, 4sts. On the next row slip one, k3 and begin the leaf lace pattern row 1. Repeat the leaf lace pattern across the row to the marker and then knit the last 4sts.
It’s a good idea to put markers every 10 sts to mark off the leaf pattern at least in the beginning few rows. After that you can keep the markers or use the eyelet pattern to keep the repeats aligned.

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So on the blanket side when it says row 1 that correlates to row 1 of the leaf lace stitch? And then for row 2 on the blanket side, it says to knit 4, move the marker, and then I go to row 2 of the leaf lace stitch where I purl until I get to the marker and then knit 4 again?

Yes, row 1 of the leaf lace pattern is worked on blanket row 1 between the markers. Row 2 of lace is worked on blanket row 2 between the markers and so on. Keep the 4 border sts separate and work them as given for the blanket rows.

Does the K2tog count as two stitches? And I’m just repeating from the * or YO, k2, k2tog, k1, ssk, k2, yo, k1, until I get to my next marker and then the k4 at the end right?

Thank you so so much for your help! You’ve been a blessing

Happy to be able to help.
It takes 2 sts to make the k2tog but once you’ve knit it, it counts as one stitch.
Yes, that’s the repeat. It’s usually marked off by asterisks or parentheses, sometimes by brackets. You’ll have 4 border sts, the repeats and then 4 more border sts.