I can see why it's not banned. It's a fairly balanced level with a few hazards that appear, just like Halberd has the laser, the cannonball, and the crane claw. Also, Jungle Japes has an almost-always one hit kill Klaptrap in it, and it's legal.
I don't think it's a terrible level. There's not enough platforms, and it's a long flat surface to get chaingrabbed on. The fire may get in the way of an Usmash kill, and the spikes may get in the way of recovery from the sides. There's plenty of hazards to use to your advantage, though, such as the kart, the wind, the fire, the spikes, and the bombs to name a few. ...However, anyone else can use these, too.
...Ok, maybe it IS a terrible Lucas level. The only pro I can really see is that the walls that appear during the percent sign, boat, whale, and box pyramid transitions can be used for F-Tilt locking. That's all I got. =/