Used primarily as a key intermediate in the synthesis of pharmaceutical compounds, particularly in the development of centrally acting agents targeting neurological disorders. Its structural features allow for selective modifications, making it valuable in creating analogs for serotonin and dopamine receptor modulators. It is also employed in research settings to develop novel psychoactive substances and study structure-activity relationships in indane-based derivatives. Due to the presence of reactive functional groups, it facilitates coupling reactions in medicinal chemistry, aiding in the construction of complex bioactive molecules.