You have to add --
before the actual flag:
npm run dev -- --host
And it should output:
> [email protected] dev
> svelte-kit dev "--host"
SvelteKit v1.0.0-next.316
local: http://localhost:3000
network: http://***.***.**.**:3000
Note that all files in the following directories will be accessible to anyone on your network: src/lib, src/routes, .svelte-kit, src, node_modules