This paper considers the mutual value co-creation that can occur when both parties in a cross sector partnership learn to innovate within the relationship. Despite suggestions that there are often asymmetrical returns to the business partner, nonprofit partners also accrue benefits (Austin & Seitanidi, 2012). In particular we consider how the relationship is influenced by the actors' abilities to accommodate, adapt, learn and co-create solutions as they learn how to do things differently or better in response to the challenges they face. This is achieved using data from a longitudinal analysis of a cross sector partnership between a business and an arts organisation in Ireland. This offers a unique opportunity to trace the emergence of the partnership over time, and, specifically, to consider the impact of innovations co-created by the actors involved. Our analysis will demonstrate that innovation at the level of the relationship emerged from the incremental problem solving processes of the individuals involved. This foregrounds the impact of individual boundary spanners and the import of social capital in realising the potential of this partnership. In this regard we put forward three key boundary spanning roles, boundary spanner as network builder, as entrepreneur, as facilitator/mediator. The paper concludes with suggestions for further research and consideration of managerial implications arising from this study. (C) 2015 Elsevier Ltd. All rights reserved.