While I agree in principle with "graphics over gameplay", I don't like how it is usually used to excuse lousy graphics. The mantra means that if one has to chose one over the other, gameplay is more important. It does not mean the two items are mutually exclusive.
Many of Nintendo's best games from their history were also very visually impressive for their time. Super Mario Bros. 3 for example is not just a fantastic game in terms of gameplay, it also is a fantastic technical achievement for the NES. The game was stunning for an NES game at the time. Nintendo using "workingman's graphics" is a relatively new thing. Prior to the Cube era Nintendo games typically had impressive graphics for their time.
Ideally I want good graphics AND gameplay because many of the best games from the past combined the two. Hell, the Super Mario Galaxy games are widely considered the best games on the Wii and, unlike titles like Wii Sports, they have impressive graphics. While the NSMB games are content with functional-but-unimpressive graphics, the 3D Mario games on the Wii pushed the hardware. As did Metroid Prime 3, DKC Returns and Zelda: Skyward Sword. It seems the less "casual" the game, the more Nintendo was willing to go that extra mile, limited only be the decision to go with "weak" hardware in the first place. Unfortunately because of the hardware I found those looked great for Wii games; they didn't impress me outright like Gamecube games could.
Retro has never made a game with okayish graphics. They're always impressive for the hardware so we should be fine.