Yes, you need Line of Sight.
One other difference from movement is that you can teleport while immobilized, restrained, or grabbed.
From the PHB3
TELEPORTATION
You use these rules when you use a teleportation
power section on a target. which might be yourself. another
creature, or an object.Teleportation:
- Instantaneous: Teleportation is instantaneous.
The target disappears and immediately appears in
the destination space you choose. The movement
is unhindered by intervening creatures, objects, or
terrain.
- Destination Space: The destination of the teleportation must be an unoccupied space that the target can occupy without squeezing. If arriving in
the destination space would cause the target to fall
or if that space is hindering terrain, the target can
make a saving throw. On a save, the teleportation is
negated.
- Line of Sight: You must have line of Sight to the
destination space.
- No line of Effect: Neither you nor the target
needs line of effect to the destination space.
- No Opportunity Actions: The target doesn't
provoke opportunity actions for leaving its starting
position.
- Immobilized or Restrained: Being immobilized
or restrained doesn't prevent a target from teleporting. If a target teleports away from a physical
restraint. a monster's grasp, or some other immobilizing effect that is located in a specific space. the target is no longer immobilized or restrained. Otherwise,the target teleports but is still immobilized or restrained when it reaches the destination space.