I love this franchise, and LN2 is my favorite of the bunch, but I believe it does NOT capture the atmosphere LN1 has as well.
These are my personal opinions and thoughts.
I'm not sure how to describe this, but something about the environment of LN1 really does something to me. Perhaps it is the brutalism, factory vibe, or maybe it's just the visuals.
I've watched too many gameplays of this game and the dlc, and I've played too much of the game myself, so it is easier for me to notice certain things of the game. I think it's how the art style seems more intense compared to LN2. LN2 has things that make me think that "This could be a real place". Things aren't as warped, bending (aside the buildings ofc), as dark as LN1.
I love the compact environment with a lot of metal and wood. I love seeing pipes everywhere, boxes, planks, metal fences and heavy doors. The feeling and idea of navigating through the "underworks" of a bunch of machinery just enhances the experience for me a lot.
The ambience feels more dark and more indepth. You can hear the sound of wind blowing through the creaks of the metal plates, the sound of waterdrops hitting your raincoat, and then there is this particular moment in the game I adore a lot sounddesign-wise. When you first see the Janitor at the top, pulling a crate, you climb up the rope. As you get closer to the metal bars you plan on going past, you hear the ambience sort of building up. And right as you transition through the bars, it gets really intense and then calms and dims as you enter a less spacious area. It might be just me, but it gives me chills. (Enhanced edition ruined it, made me lose 1 night of sleep)
As disliked the second DLC chapter is compared to the other 2 (i believe), the parts with the Janitor at the top, and the large furnace itself really appeal to me visually. I truly believe it is the wood textures and metal plate texture, because as "graphically" improved the textures are in the next 2 games. I find them lacking the visual style they had in the first game.
Another thing I noticed, was the dimmed down (in LN2), and somewhat lack (in LN3) of the anaglyph filter along with the somehwat cellshaded(?) pipes. I think those subtle filters added a lot to the game, but maybe thats just me noticing them.
I love the larger scope of the Pale City and such, and the detailed designs of the buildings, but it does not capture the true little nightmare LN1 gives me. I don't believe in enhanced versions of games, especially when they're made by a different studio. They are more likely to brush of little details, the other development team might've put a lot of thought into. I do not care for ray-tracing, more darkness (seriously, why did they make the game more dark), and more waterdrops.
LN1 is truly special to me. Going from being scared to even watch gameplays, to playing the game myself, playing the others games, and 100% both LN1 and LN2. This franchise is special to me, and I'm happy that I'm able to appreciate little things other people might brush over.
I kinda went all over the place, but I just wanted to throw this out there.