Newcastle City Council and Newcastle University have each bought half of One North East's one-third share in the Science Central site, making it one of the most significant asset transfers since abolition of the regional development agency was first announced.
Each paid around £1.5m as the Government has made clear that even transfers to other public bodies will have to be paid for at market rates.
The three bodies have been proposing to turn the 5.83ha former brewery site into a science campus specializing in ageing and health, sustainability and regenerative medicine.
It will also house the Newcastle Institute for Research on Sustainability.
"The abolition of One North East has been a blow to this region, but we are determined to do all we can to keep up momentum on our key economic priorities," said Council leader Nick Forbes.
"It's vitally important that the regional development assets are retained for the benefit of the region."
University vice-chancellor Chris Brink said the remaining partners are still committed to the success of the project and the transfer of the land would now allow it to move forward.
ONE chairman Paul Callaghan said he was very pleased to have reached this position and looked forward to the other partners moving forward with the project.
"Science Central will be a key pillar in the sustainable growth of the local and North East economies for many years to come," he predicted.
