Y'know, having slept on it. I do feel that with Sunrise co-producing it gives me some comfort it won't turn out a complete disaster again. And apparently Legendary make good LA films of other franchises like Godzilla so here's hoping.
I think with certain franchises, it be easier to create a new plot/characters/setting rather than using an existing one. Its cheating but it might yield better results. So gundam feels like one of those franchises that you could do it with.
^ I could easily see them creating a brand new "Cinematic Universe" continuity exclusive to this film (and potential sequels) in a similar manner to the MCU so that newcomers don't have to worry and franchise veterans also have something new to buy tickets for.
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