mortise occupancy indicator

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The ND40 does not have this option.  You will need to look at a mortise lock, L9496, or a deadbolt such as the B571.
Indicator not extended Indicator extended
The indicator on a cylindrical hotel lock is a small pin that projects outward from the face of the cylinder plug (Figure 1) when the inside push button is depressed.  When this pin is pr...
The replacement for the D871 is the D271.  None of the parts are backwards compatible. D271 description:Thumbturn x Occupancy Indicator Deadbolt thrown or retracted by turn unit only. ...
The Falcon D400 and D800 series (including the D871) were discontinued in 2008.
The Falcon MA mortise lock is available with an occupancy indicator on the following functions: MA301, MA311, MA321, MA371, MA431, MA441(inside of door only), MA451, MA541, MA57...
Related solution: Is the MA indicator available separately? 
In late July, 2014, Schlage began taking orders for a new high visibility indicator for both N escutcheon and sectional trim applications.  A complete listing of lock functions and part number...
The L Series mortise indicator datasheet can be found here. Includes how to order.
L9496 is a Privacy mortise lock with “Occupied” Indicator. Knob/lever retracts latchbolt from either side. Deadbolt thrown or retracted by key outside (retraction by key required in the event ...