Used in pharmaceutical research as a key intermediate in the synthesis of selective enzyme inhibitors, particularly in the development of compounds targeting inflammatory and neurodegenerative diseases. Its structure supports binding to specific active sites in enzymes due to the rigid indane core and the hydrogen-bonding capability of the amide group. The thiophene ring enhances lipophilicity and bioavailability, making it suitable for drug candidates requiring blood-brain barrier penetration. Also explored in medicinal chemistry for optimizing lead compounds in CNS therapies.