diff --git a/docs/content/guides/deploy-apps/environments/overview/index.md b/docs/content/guides/deploy-apps/environments/overview/index.md
index 02f056e5e..23baf7fc5 100644
--- a/docs/content/guides/deploy-apps/environments/overview/index.md
+++ b/docs/content/guides/deploy-apps/environments/overview/index.md
@@ -41,6 +41,10 @@ Supported identity providers:
 
 - [Azure AD workload identity](https://azure.github.io/azure-workload-identity/docs/introduction.html)
 
+### Simulated environments
+
+You can optionally designate an environment as "simulated". When enabled, a simulated environment will not deploy any output any resources or run any Recipes when an application is deployed. This is useful for dry runs or testing.
+
 ## CLI commands
 
 The following commands let you interact with Radius Environments:
diff --git a/docs/content/reference/resource-schema/core-schema/environment-schema/index.md b/docs/content/reference/resource-schema/core-schema/environment-schema/index.md
index 2e9f8bcf6..e1041b2af 100644
--- a/docs/content/reference/resource-schema/core-schema/environment-schema/index.md
+++ b/docs/content/reference/resource-schema/core-schema/environment-schema/index.md
@@ -24,6 +24,7 @@ weight: 000
 |------|:--------:|-------------|---------|
 | [compute](#compute) | y | Container runtime configuration. | [See below](#compute)
 | [recipes](#recipes) | n | Recipes registered to the environment | [See below](#recipes)
+| simulated | n | When enabled, a simulated environment will not deploy any output resources or run any Recipes when an application is deployed. This is useful for dry runs or testing. Defaults to `false`. | `true`
 
 ### compute