What happens to the MFAR component if performance targets are not met?

When performance targets are not met, the MFAR (Maximum Floor Area Ratio) component is likely to be reduced. This reduction serves as a consequence for failing to achieve the established benchmarks. The MFAR is a regulatory measure used to control the density of development in a specific area, and it can be influenced by various performance indicators relevant to a project's sustainability, functionality, or overall impact.

If developers or projects do not meet these performance targets, it reflects a shortfall in achieving the expected outcomes, which can lead to a re-evaluation of how much floor area they are permitted to build. By adjusting the MFAR downward, regulatory authorities can ensure that developments remain in line with community standards and goals. This mechanism encourages compliance and responsible development practices, ultimately promoting better project alignment with urban or environmental objectives.

The other possibilities, such as an automatic increase, unchanged status, or complete elimination of the MFAR, do not align with the standard regulatory approach, which typically aims to promote accountability and improvement in performance rather than reward underperformance.