Hydrous magnesium silicate phase D plays a key role in the transport of water from the upper to the lower mantle via subducted slabs. Here we report pressure dependence hyperfine and lattice parameters of FeAl-bearing phase D up to megabar pressures using synchrotron nuclear forward scattering and X-ray diffraction in a diamond anvil cell at room temperature. FeAl-bearing phase D undergoes a two-stage high-spin to low-spin transition of iron for Fe2+ at 37–41 GPa and for Fe3+ at 64–68 GPa. These transitions are accompanied by an increase in density and a significant softening in the bulk modulus and bulk velocity at their respective pressure range. The occurrence of the dense low-spin FeAl-bearing phase D with relatively high velocity anisotropies in deep-subducted slabs can potentially contribute to small-scale seismic heterogeneities in the middle-lower mantle beneath the circum-Pacific area.