Used as a key intermediate in the synthesis of certain pharmaceutical agents, particularly in the development of DPP-4 inhibitors for the treatment of type 2 diabetes. Its structural features, including hydroxy and carboxylic acid groups, enhance water solubility and allow for selective binding to specific enzyme active sites, improving the efficacy of drug candidates with low side effects. The compound's stereochemistry plays a critical role in biological activity, making it valuable in producing enantiomerically pure drugs. It is also employed in research settings to explore structure-activity relationships in medicinal chemistry programs.