I'm sure someone with a book handy can provide you with an exact quote from the end of the prologue of tEotW, but yes, after his conversation with Ishamael in his palace, LTT does travel away from the palace before creating Dragonmount. I remember the description of him traveling and arriving in an area with a river but no one people around, he rants briefly, creates Dragonmount, and then we are given a quick description of what would come to be Tar Valon (the river splitting in two with an island in the middle, apparently that area didn't change during the remainder of the Breaking).