You are right the NXT Cup was dominated by Long Island teams and there was only one NON LI Team, Brotherly Love. The NXT Cup had one of the strongest brackets in the country at 2023 where BL had their best team. The SemiFinals was the following teams.

LI Express
S2S (LI team that only has an elite 2023 team)
91 Bandits
Brotherly Love

BL lost to S2S in overtime and then beat Express in the Consolation game missing their 2 best poles.

I don't think the quality of the team is overstated at all. Can Triple H do that, Has Freedom done that, Mesa, NXT??