The parahippocampal place area and hippocampus encode the spatial significance of landmark objects

•Computer-generated novel objects became landmarks after spatial learning.•Landmark objects acquired spatial significance in PPA and Hippocampus.•Such location coding could be found without active navigation. Landmark objects are points of reference that can anchor one's internal cognitive map to the external world while navigating. They are especially useful in indoor environments where other cues such as spatial geometries are often similar across locations. We used functional magnetic resonance imaging (fMRI) and multivariate pattern analysis (MVPA) to understand how the spatial significance of landmark objects is represented in the human brain. Participants learned the spatial layout of a virtual building with arbitrary objects as unique landmarks in each room during a navigation task. They were scanned while viewing the objects before and after learning. MVPA revealed that the neural representation of landmark objects in the right parahippocampal place area (rPPA) and the hippocampus transformed systematically according to their locations. Specifically, objects in different rooms became more distinguishable than objects in the same room. These results demonstrate that rPPA and the hippocampus encode the spatial significance of landmark objects in indoor spaces.