What is the best practice to manage many dynamic objects in react three fiber?

Using react three fiber, I want to show as many as 1000 objects on screen. Objects will be created during runtime based on business logic, and later destroyed when no longer needed.

Most examples I've seen used a fixed count of objects. Positions are reset rather than an actual create/destroy. (ex: Flying bananas, bubbles, various particle examples)

An example scenario

A traffic simulator. The scene is an fixed overhead view of a few city blocks

Vehicles drive through the scene, each with unique properties.
The number and type of vehicles on screen will vary based on user configurable settings.

Vehicles will 'spawn' at edges of the scene. When they leave the scene, they no longer exist.

What I'm trying

A) Using instancedMesh. This allows for optimization. But I cannot find an example with a variable number of objects to track. Additionally, it seems I may need to create multiples instancedMeshes to account for each drawable type of vehicle (truck vs car, etc).

B) Holding an array of all vehicles. I can store an array with all vehicles, and render them with some code akin to:

vehicles = [ { id: 'a', position: [1,2,3] } ]

// update vehicle properties
useFrame(( _, delta) => {
  // Conditionally add vehicles. Ignore id/position
  if( Math.random() < 0.2 ) { vehicles.push( { id: '?', position: [2,3,4] } ) } 

  // for loop. Velocity * time computations. Update position values for each vehicle.
  // if the vehicle is outside the boundaries, mark it as removed. 

  // Outside the loop remove marked vehicles 
  vehicles = vehicles.filter( v => v.toBeRemoved !== true )
})
return vehicles.map((vehicle) =>
  (<Vehicle key={vehicle.id} position={vehicle.position} />)
)

(above, inspired by https://stackoverflow.com/questions/66131246/react-three-fiber-for-loop)

If I understand things correctly (not guaranteed), this strategy might be reallocating arrays on every frame, and causing lots of change detection difficulty for react.

C) miniplex (ECS)

This seems plausible, but I can't seem to find any working examples, and the documentation is either not applicable, or a TODO.

I am novice in the graphics domain, so something may have been missed.

My best solution has been to use the instanced mesh approach.

Each type of vehicle has it's own array. The size of the array is the maximum number of vehicles possible.

The array stores all state, including position and lifecycle status. Controller logic decides if lifecycle is 'on-screen' or 'off-screen'. The controller updates position. If 'off-screen' the position is outside the visible space to avoid it showing up.

The draw loop renders using the usual instanced mesh solutions, and only draws that type of vehicle.

The for-loop solution caused significant frame rate drop (from 60 to ~35).