I agree that the division of episodes into chapters is somewhat confusing. To me, it would have been better to stick to Episode 3 Part 1/Part 2, or something like that. Anyway, even though I've never played the game yet the development cycle explained on the OP was clear enough for me to understand what's going on.
As I said, I've never played this game. I've been watching it for a veeery long time, especially since it began being remade and many of my cyber-friends on this site started talking about it, sharing superb renders, fanart, etc.
However, knowing that it is still being remade I'm determined to wait until the remaster is finished so I can enjoy the full experience.
This is just my personal opinion and my preference: I'd rather the dev completed the remake first before moving forward with the story. Long-time players will likely disagree with me, but I think it's better for all if we have a final product as soon as possible, one that will attract undecided players like me ("will I need to restart the game later on?", for example) and encourage walkthroughs and mods. I know that's not gonna happen so I've already come to terms with the idea that I will still have to wait around a year or longer before I can try this beautiful game out.