The discovery of new inorganic magnesium electrolytes may act as a foundation for the rational design of novel types of solid-state batteries. Here we investigated a new type of organic-inorganic metal hydride, isopropylamine magnesium borohydride, Mg(BH4)2∙(CH3)2CHNH2, with hydrophobic domains in the solid state, which appear to promote fast Mg2+ ionic conductivity. A new synthetic strategy was designed by combination of solvent-based methods and mechanochemistry. The orthorhombic structure of Mg(BH4)2∙(CH3)2CHNH2 was solved ab initio by the Rietveld refinement of synchrotron X-ray powder diffraction data and density functional theory (DFT) structural optimization in space group I212121 (unit cell, a = 9.8019(1) Å, b = 12.1799(2) Å and c = 17.3386(2) Å). The DFT calculations reveal that the three-dimensional structure may be stabilized by weak dispersive interactions between apolar moieties and that these may be disordered. Nanoparticles and heat treatment (at T > 56 °C) produce a highly conductive composite, σ(Mg2+) = 2.86 × 10−7, and 2.85 × 10−5 S cm−1 at −10 and 40 °C, respectively, with a low activation energy, Ea = 0.65 eV. Nanoparticles stabilize the partially eutectic molten state and prevent recrystallization even at low temperatures and provide a high mechanical stability of the composite.