The electrical, magnetic, and structural properties of Sr$_3$(Ru$_{1-x}$Mn$_x$)$_2$O$_7$ (0 $leq x leq$ 0.2) are investigated. The parent compound Sr$_3$Ru$_2$O$_7$ is a paramagnetic metal, critically close to magnetic order. We have found that, with a Ru-site doping by only a few percent of Mn, the ground state is switched from a paramagnetic metal to an antiferromagnetic insulator. Optical conductivity measurements show the opening of a gap as large as 0.1 eV, indicating that the metal-to-insulator transition is driven by the electron correlation. The complex low-temperature antiferromagnetic spin arrangement, reminiscent of those observed in some nickelates and manganites, suggests a long range orbital order.
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