Used primarily as a pharmaceutical intermediate in the synthesis of biologically active compounds. It serves as a building block in the development of nitrogen- and oxygen-containing heterocyclic drugs, particularly in the design of central nervous system agents and cognitive enhancers. Its spirocyclic structure contributes to conformational rigidity, which can improve selectivity and metabolic stability in drug candidates. It has also been explored in the preparation of nootropic and neuroprotective agents due to its structural similarity to known cognitive modulators.