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Multi Site Multi App Multi Tenancy in Development environment

From the documentation and discussion thread, my impression is that multi tenancy is possible only in production deployment.
Is this understanding correct? If yes, is this intentional? If so, can someone please share the reasons for it?
I have dockerized development set up following these steps:

Multi Site, Multi App, Multi Tenancy is available in all releases. Docker or non docker.

bench and docker development environment are similar mutable environments where you can add any thing on the fly.

Docker production keeps the environment immutable.
If you need 10 apps, build production image with 10 apps. Docker production images cannot install additional apps outside of the image.

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Thanks @revant_one for your response.
I was trying port based multi tenancy in dev environment. But, it didn’t work. I’ll try this based on your response in other thread: How enable port based multi sites in dev environment?

Also, on the site where I’d already installed custom app i.e. library management app from tutorial, I was trying to install in erpnext, that too wasn’t allowed. It showed an error like “erpnext can’t be installed where set up has already run”
Is multi app allowed on a site along with erpnext?

ERPNext can only be installed on fresh sites where Setup Wizard is not completed yet.