I mean, yes and no. Sometimes age does mean something is bad, if society has grown from a concept, or if it's become too normalized.
I think part of the issue Muppets is facing, 3D / 4D theatre attractions are such a normal concept these days, I can go to my movie theatre and experience one, the "gimmick" isn't unique or special anymore. Add in an IP that is frankly, well... dying ...
Of course, this attraction does take it up several notches with Animatronics etc, so it is still unique in that way, but the real question is what is the actual expiry date for this attraction, where it will legit just be a relic barely anyone goes to? 20-30 years from now? I love the Muppets, but this attraction does not scream timeless to me, not in the same way Mansion or Pirates does.
I am sure Disney is thinking long game here, when it comes to this area. I think the fate of Muppets is sealed, and it's just a matter of when.