Used as a key intermediate in the synthesis of pharmaceuticals, particularly in the development of central nervous system (CNS) agents. It plays a role in the production of certain antidepressants and antipsychotic drugs due to its structural similarity to biologically active isoindoline derivatives. Also utilized in research settings for the design of novel compounds with potential neuroprotective or cognitive-enhancing properties. Its methoxy group enhances lipophilicity, aiding in blood-brain barrier penetration, which is beneficial for targeting neurological conditions.