This Letter reports the first experimental results from the world's first distributed optical-klystron (DOK) free-electron laser (FEL), the DOK-1 FEL, at Duke University. The DOK-1 FEL is a hybrid system, comprised of four wigglers: two horizontal and two helical. With the DOK-1 FEL, we have obtained the highest FEL gain among all storage ring based FELs at 47.8% (+/-2.7%) per pass. We have also demonstrated that the FEL gain can be enhanced by increasing electron bunching using wigglers with a different polarization. Furthermore, we have realized controlled polarization switches of the FEL beam by a nonoptical means through the manipulation of a buncher magnet.