"Key of the Starry Sky" is in fact a semi-canon arc (same thing with the movie Dragon Cry). Hiro Mashima worked on some idea of the story and the characters design. Also in the manga during the GMG arc, Zentopia incident was mentionned (it is the only element of "Key of the Starry Sky" arc that was mentionned in the manga). I think this arc is interresting but should be much better. Michelle is an underrated character and my favorite element of the arc and I enjoy the return of the Oracion Seis. The arc is not perfect, too long for what it offers and with it's best elements should be much better as a movie (I want to rewrite the arc as a fanfic one day, using my favoring stuff of the arc). .
The arc does certainly have it's good points, but it's bogged down by a lot of time wasting. It could've potentially been better as a movie I agree, but I feel then it doesn't have enough time to flesh any of its ideas out either
I actually really like this arc. The latter half was really creative and I appreciated the themes. But, the beginning stretch of the episodes where they were finding the clock pieces were way too slow. I know a lot of people who dropped the series there
I totally agree. I think the first half of the arc just soured my overall view honestly, the second half was so so much better. But it never made me want to drop the series, it wasn't as bad as something like Daphne