Basically they have an interesting and somewhat buggy concept. Talking to a Konami rep, he said specifically that Katamari was one of the biggest inspirations for the game. They want to create a world where everything is movable. In a world like that, as in Katamari, visuals are gonna be lacking. It just isn't technically feasible.
I had a lot of fun with what was essentially an engine demo. I did manage to crash it though, which is what I was trying to do. The Wii remote gives you a lot of control over the objects. So much control that I was able to lodge a fridge in the floor of the house, which caused it to fall through and then the entire game went screamer style with a lock up.
Even given that, I walked away with a good impression of what they had. It's pure game design in the sense that their idea may not turn out to be any fun at all, but it's an interesting chance they are taking. We wouldn't have games like Katamari, or even DDR, if someone didn't take a chance at some point.