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As documented in many places, older versions didnt allow to have multiple databases in single instance. As in have separate /db/data location per database.

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Neo4j 2.2 will be a first step in that direction.

I currently have Neo4j 2.3.3. Does the newer versions support this feature yet?

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Not yet. Best way to manage multiple databases side by side on the same machine is using containers such as Docker - you can pick up the latest GA version of Neo4j on DockerHub. If you look at the latest 3.0 milestone (beta), you'll see a number of improvements, including changes to directory structure & config, to make this easier.

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Actually You don't need docker. See my answer.

https://stackoverflow.com/a/58751637/3209523

setting up docker with neo4j is hard and cumbersome due to many volumes and ports

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As of 2023 - You can now use the DozerDB plugin which enables multi-database functionality, among other enterprise features in 4.x and 5.x versions of Neo4j Community Edition.

See: https://dozerdb.org and https://github.com/dozerdb/

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