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In terms of practicality none of the walkers really make sense in a universe where landspeeders and other gravity repulsed vehicles exist.
I think their main plus point is fear in which case an urban environment would be a frightening place to meet something like that (which goes all the way back to H G Wells).
The AT-ST would possibly have a much easier time on Hoth than on Endor but they need to be doing something that the AT-ATs can't do.
Darting in and out and picking targets for the big guns to fire on (they would be rather like the Imperials version of a Tauntaun, the Imps love throwing technology around).
That would require adding new special effects elements into the existing footage to really pull off.
Perhaps something Ady can't provide, afford or doesn't see as vital for what he wants to do (though I would love to see somebody do it).
Either way I would prefer to keep them in in some capacity and blowing up the one that later causes continuity problems would be adding a Wow! to what was in the day a Wow! moment.
