tert-Butyl (2-hydroxycyclopentyl)carbamate is primarily used in organic synthesis as an intermediate for the preparation of more complex chemical compounds. Its structure, featuring both a carbamate group and a hydroxyl group, makes it a versatile building block in the development of pharmaceuticals, particularly in the synthesis of bioactive molecules. The compound is often employed in the creation of cyclopentane-based scaffolds, which are valuable in drug discovery for their potential therapeutic properties. Additionally, it can serve as a protective group for amines during multi-step synthetic processes, enabling selective reactions in the presence of other functional groups. Its stability and reactivity make it a useful reagent in medicinal chemistry and material science research.