Synthesis of new compounds, which may potentially provide additional insight into or exhibit interesting relationships between the crystal structure and physical properties, is one goal of solid-state inorganic chemists. The synthetic chemist has a diverse array of techniques available at his or her disposal to synthesize new compounds. A conventional approach was used in the discovery and synthesis of a new Aurivillius-type compound, Bi₃Fe_0.5Nb_1.5O₉. The structure and properties of the compound were examined using a combination of X-ray and neutron powder diffraction, magnetic, dielectric, and conductivity measurements. Its structure was found to be a member of the n = 2 series of Aurivillius-type compounds and crystallizes within a polar space group. Magnetic properties were not Curie-Weiss-type from 6 to 300 K. Dielectric properties, measured as a function of temperature and frequency, exhibited a peak in the relative permittivity near 525 K. Near the same temperature, a change in the activation energy was also measured for dc conduction. The physical properties, taken in context with the crystallization in a polar space group, indicate the existence of a ferroelectric phase transition occurring near 525 K.