Solar-Induced Chlorophyll Fluorescence (SIF) is an emission of light in the 650–850 nm spectral range from the excited state of the chlorophyll-a pigment after absorption of photosynthetically active radiation (PAR). As this is directly linked to the electron transport chain in oxygenic photosynthesis, SIF is a powerful proxy for photosynthetic activity. SIF observations are relatively new and, while global scale measurements from satellites using high-resolution spectroscopy of Fraunhofer bands are becoming more available, observations at the intermediate canopy scale using these techniques are sparse. We present a novel ground-based spectrometer system - PhotoSpec - for measuring SIF in the red (670–732 nm) and far-red (729–784 nm) wavelength range as well as canopy reflectance (400–900 nm) to calculate vegetation indices, such as the normalized difference vegetation index (NDVI), the enhanced vegetation index (EVI), and the photochemical reflectance index (PRI). PhotoSpec includes a 2D scanning telescope unit which can be pointed to any location in a canopy with a narrow field of view (FOV = 0.7°). PhotoSpec has a high signal-to-noise ratio and spectral resolution, which allows high precision solar Fraunhofer line retrievals over the entire fluorescence wavelength range under all atmospheric conditions using a new two-step linearized least-squares retrieval procedure. Initial PhotoSpec observations include the diurnal SIF cycle of single broad leaves, grass, and dark-light transitions. Results from the first tower-based measurements in Costa Rica show that the instrument can continuously monitor SIF of several tropical species throughout the day. The PhotoSpec instrument can be used to explore the relationship between SIF, photosynthetic efficiencies, Gross Primary Productivity (GPP), and the impact of canopy radiative transfer, viewing geometry, and stress conditions at the canopy scale. Display omitted •PhotoSpec is a new instrument for sensitive red and far-red SIF measurements.•PhotoSpec measures canopy reflectance to calculate vegetation indices.•PhotoSpec allows spatially resolved SIF observations of leaves and canopies.