A colorless and transparent zirconium oxide ($Zr_{0.73}Y_{0.27}O_{1.87}$) crystal has been synthesized by the Bridgman-Stockbager method. The gem-quality material is produced by adding 20${sim}$25 wt.% $Y_2O_3$ (stabilizer) and 0.04 wt.% $Nd_2O_3$ (decolorising agent) to the $ZrO_2$ powder. It shows a vitreous luster with a slight oily appearance. Under a polarizing microscope, it shows isotropic nature with no appreciable anisotropism. Mohs hardness value and specific gravity is measured to be 8${sim}$$8{frac{1}{2}}$ and 5.85, respectively. Under ultraviolet light it shows a faint white glow. The crystal structure of yttria-stabilized zirconia with 0.27 at.% Y has been re-investigated, using single crystal X-ray diffraction, and confirmed to be a cubic symmetry, space group $Fm{overline{3}}m$ ($O^5_h$) with a=5.1552(5) ${{AA}}$, V=136.99(5) ${{AA}}^3$, Z=4. The stabilizer atoms randomly occupy the zirconium sites and there are displacements of oxygen atoms with amplitudes of ${Delta}/a{sim}$0.033 and 0.11 along <110> and <111> from the ideal positions of the fluorite structure, respectively.