I was fine with how they handled Luke. It's the approach they took and it worked well when I watched it. I am salty about how Ackbar went out, though.
Would have I also loved if Luke brought the X-Wing out of the water, flew there, and fought Kylo in an epic lightsaber duel? Absolutely, that would have been amazing.
But instead we got an incredible display of strength and power from a Jedi Master who used his fame and legend to inspire hope one last time. He learned from his past failures, he didn't go back to face Kylo in person, but instead he took the advice from Yoda. He had a goodbye with Leia, he gave us hope one last time and a great twist in his force projection. I think overall, the twists and subverting of tropes worked really well. Some things were too much, like Luke dusting off his shoulder, but overall all of the misdirection worked for me.
I"m glad they gave us something different, something not what we all expected or even wanted. It's not a perfect movie, there's always going to be issues in the writing, plots, pacing, etc., but I still loved what they did and the direction they went.