Phoebe Cates' bare breasts more than make up for any other faux pas the movie commits.
The New York City that existed in 1979 is far different from the New York City that exists now, both in actuality and in the social conscious of the nation and the world. You can't re-capture that. It would have no power. It's like trying to remake Red Dawn. There's no other city that really has that combination of infrastructure with that rot. Even Chicago's not a good fit. The L isn't as isolating as the subway and it wouldn't be able to play the same role in being both a foreboding trap and a deliverance from evil, like the sea was to the Greeks.
I have been all over this earth. I have set foot on every continent except Antartica. I have seen white people, black people, brown people, yellow people, olive people, and every shade in between. I have seen people with big eyes and small mouths, and small eyes and big mouths. I have been welcomed. I have been cursed. I have been shot at. But, I have never fucking seen someone with naturally green, blue, or purple hair.