I'm familiar with this ammo - we used it in the Danish army to train new drafted recuits for their very first time firing their weapons. It does NOT cycle semi-automatic firearms, and I remember we shot it at ranges of about 10 yards or so. (That was the rifle version, not 9mm - but I assume they work the same)
It is useful to get people used to pulling the trigger, and practice breathing, sight picture, etc - without much risk, and without needing to worry about backstops, etc. We'd use it for one afternoon, and then onto the range with live regular ammo the next day.
In my experience, you could EASILY shoot in a garage or basement with this kind of ammo (don't completely neglect ventilation, obviously) - but it is not loud at all. Perhaps a little louder than just a primer, but not really.