Used primarily as an intermediate in organic synthesis, this compound plays a key role in the development of pharmaceuticals and bioactive molecules. Its functional groups—bromine, nitro, and hydroxyl—allow for selective transformations such as cross-coupling reactions, reductions, and substitutions. The bromine moiety enables palladium-catalyzed coupling reactions to form carbon-carbon bonds, useful in constructing complex aromatic systems. The nitro group can be reduced to an amine, facilitating the synthesis of amino-substituted indane derivatives with potential biological activity. The hydroxyl group offers a site for etherification or esterification, enabling further derivatization. Due to its rigid indane scaffold, it is also explored in medicinal chemistry for designing CNS-active agents and enzyme inhibitors.