Recent investigations have shown that multiple D-amino acids are present in mammals and these compounds have distinctive physiological functions. Free D-glutamate is present in various mammalian tissues and cells and in particular itis presumably correlated with cardiac function, and much interest is growing in its unique metabolic pathways. Recently, we first identified D-glutamate cyclase as its degradative enzyme in mammals, whereas its biosynthetic pathway in mammals is unclear. Glutamate racemase is a most probable candidate, which catalyzes interconversion between D-glutamate and L-glutamate. Here, we identified the cDNA encoding L-serine dehydratase-like (SDHL) as the first mammalian clone with glutamate racemase activity. This rat SDHL had been deposited in mammalian databases as a protein of unknown function and its amino acid sequence shares approximately 60% identity with that of L-serine dehydratase. Rat SDHL was expressed in Escherichia coli, and the enzymatic properties of the recombinant were characterized. The results indicated that rat SDHL is a multifunctional enzyme with glutamate racemase activity in addition to L-serine/L-threonine dehydratase activity. This clone is hence abbreviated as STDHgr. Further experiments using cultured mammalian cells confirmed that D-glutamate was synthesized and L-serine and L-threonine were decomposed. It was also found that SDHL (STDHgr) contributes to homeostasis of several other amino acids.