Canavan disease is a fatal neurological disorder caused by the malfunctioning of a single metabolic enzyme, aspartoacylase, that catalyzes the deacetylation of N-acetyl-L-aspartate to produce L-aspartate and acetate. The structure of human brain aspartoacylase has been determined in complex with a stable tetrahedral intermediate analogue, N-phosphonomethyl-L-aspartate. This potent inhibitor forms multiple interactions between each of its heteroatoms and the substrate binding groups arrayed within the active site. The binding of the catalytic intermediate analogue induces the conformational ordering of several substrate binding groups, thereby setting up the active site for catalysis. The highly ordered binding of this inhibitor has allowed assignments to be made for substrate binding groups and provides strong support for a carboxypeptidase-type mechanism for the hydrolysis of the amide bond of the substrate, N-acetyl-L-aspartate.Canavan disease (CD) 1 is a fatal autosomal recessive disorder that affects the central nervous system (1) and for which there is currently no effective treatment. The symptoms for CD can be noticed as early as 3-6 months of age and include rapid increase of the head circumference (megalocephaly), lack of head control, reduced visual responsiveness, abnormal muscle tone (i.e., floppiness or stiffness), and mental retardation (2). CD patients usually do not live past the first decade of their lives. Canavan disease is caused by a defect in the capability of the brain to metabolize N-acetyl-L-aspartate (NAA) (3), one of the most abundant amino acids in the brain (4). Aspartoacylase, whose function is to catalyze the deacetylation of NAA ( Figure 1), is located primarily in the white matter of the brain, more specifically in the cytosol of the oligodendrocytes (5). Analysis of the acy2 gene that encodes aspartoacylase taken from DNA isolated from CD patients has revealed more than 50 different mutations, including numerous deletions, missense mutations, and premature terminations (6). In most cases, the missense mutations result in nonconservative amino acid substitutions, leading to an altered enzyme that either is not expressed at all or is expressed but has little or no catalytic activity (6).Aspartoacylase was originally proposed to be member of the esterase family since it was shown to be inactivated by diisopropylfluorophosphate, a classic serine protease inactivator (7). On † This work was supported by a grant from the National Institutes of Health (NS45664), and C.X. was supported by Grant GM71790. ‡ The atomic coordinates for apo-aspartoacylase (2O53) and the tetrahedral intermediate analogue complex of human aspartoacylase (2O4H) the basis of these studies, conserved serine, histidine, and glutamate residues were identified and proposed to function as a catalytic triad. However, subsequent alignment studies showed few similarities between aspartoacylase and the esterase family, instead suggesting that aspartoacylase is a member of the zinc peptidase superfamily (8). Th...