The layered perovskite compound Sr2-xGdxCoO 4 has not yet been subjected to detailed study so far. In this report, structures, transport, magnetic properties, and first principle calculations will be reported for the two dimensional compounds Sr 2-xGdxCoO4 (x 0.5, 0.75, 1, 1.25). Rietveld refinement revealed that these compounds are crystallized in K2NiF 4-type structures with space group I4/mmm. It was found that the lattice parameter c decreases as x increases. Through the Curies Weiss fitting of the temperature dependent magnetization, it was found that the Sr 1.25Gd0.75CoO4 sample exhibits a weak ferromagnetic to paramagnetic transition at about 62 K, with a Curie constant of 0.113 emu K/mol. Band structure calculations indicated that electrons of these compounds are spin polarized at the Fermi level. The 2-D Variable Range Hopping model fitting indicated that the two dimensional variable range hopping mechanism could be used to account for the conducting mechanism for these samples. © 2013 American Institute of Physics.