<P><B>Abstract</B></P><P>A novel enzymatic production system of optically pure β‐hydroxy α‐amino acids was developed. Two enzymes were used for the system: an <I>N</I>‐succinyl <SMALL>L</SMALL>‐amino acid β‐hydroxylase (SadA) belonging to the iron(II)/α‐ketoglutarate‐dependent dioxygenase superfamily and an <I>N</I>‐succinyl <SMALL>L</SMALL>‐amino acid desuccinylase (LasA). The genes encoding the two enzymes are part of a gene set responsible for the biosynthesis of peptidyl compounds found in the <I>Burkholderia ambifaria</I> AMMD genome. SadA stereoselectively hydroxylated several <I>N</I>‐succinyl aliphatic <SMALL>L</SMALL>‐amino acids and produced <I>N</I>‐succinyl β‐hydroxy <SMALL>L</SMALL>‐amino acids, such as <I>N</I>‐succinyl‐<SMALL>L</SMALL>‐β‐hydroxyvaline, <I>N</I>‐succinyl‐<SMALL>L</SMALL>‐threonine, (2<I>S</I>,3<I>R</I>)‐<I>N</I>‐succinyl‐<SMALL>L</SMALL>‐β‐hydroxyisoleucine, and <I>N</I>‐succinyl‐<SMALL>L</SMALL>‐<I>threo</I>‐β‐hydroxyleucine. LasA catalyzed the desuccinylation of various <I>N</I>‐succinyl‐<SMALL>L</SMALL>‐amino acids. Surprisingly, LasA is the first amide bond‐forming enzyme belonging to the amidohydrolase superfamily, and has succinylation activity towards the amino group of <SMALL>L</SMALL>‐leucine. By combining SadA and LasA in a preparative scale production using <I>N</I>‐succinyl‐<SMALL>L</SMALL>‐leucine as substrate, 2.3 mmol of <SMALL>L</SMALL>‐<I>threo</I>‐β‐hydroxyleucine were successfully produced with 93% conversion and over 99% of diastereomeric excess. Consequently, the new production system described in this study has advantages in optical purity and reaction efficiency for application in the mass production of several β‐hydroxy α‐amino acids.</P>