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Seriously, comparing it with Zelda is incredibly unfair.. You can't really compare a game developed by Nintendo themselves for the system they developed with the huge amount of expertise and manpower behind it with a port of an indie title which was not even considered to be on anything else but the PS4 when the engine was built.. Still that's not at all an excuse for the performance issues the game has. You're almost certainly right that it's the engine at the root of the problem.
The game world streaming aspect of the engine seems to be the core issue, something they simply couldn't optimise properly in hindsight. The lack of dynamic shadows and flattened lighting are undoubtedly also compromises necessary because of this lack of optimisation of the streaming engine. Zelda uses that technique as well by the way, but in a much more optimised manner. For this port of Rime though, it takes away so much from the gameplay and experience that it almost ruins the whole game.
It seems the devs just bit off more than they could chew.. Hopefully they've learned a lot from it, there's a lot they probably couldn't fix anymore so late in the process but things they can take into account for their next project.