I had exactly the same thought after observing this whole ishgard thing and all those steps from the current phase for a while. You can't help than thinking that they stretch this stuff artificially for god knows how long and if my guess is right this is only the first part. Currently we are just doing a small area of the lower Ishgard part. Even if my server is one or maybe the EU Server (Ragnarok) with the most ppl, it is far less active there now that it was during the first 2 weeks. We are currently at step 16 or 17 i think but you can feel that the ppl care less and less about this stuff. Most players that still there frequently are chars that lvl their crafters through the ishgard stuff and of course some others that do it for the tokens and items of course.
In my case i dont even bother about this ishgard shit anymore and i don't care if or not this thing will be ever finished. All i do is turn ins from time to time to buy new mats. I don't even collect them anymore and just buy them, most of them are really cheap already and it saves me hours of playtime. But except from that Ishgard is for me nothing else than one big disappointment. And from how things look i guess it will be finished shortly before the new expansion comes out.
For me it was the highlight of this expansion when they announced it before the release, together with all the crafter stuff and i really thought that with the release or the first great patch (witch was October last year) we would be able to start working on Ishgard and finish in max a couple of weeks so that players could enjoy the new housing zone. I spent a lot of time the first weeks to get all my DOL/DOH jobs to 80 as soon as possible and equip them to be ready for the Ishgard shit when it comes out. And after it came out i had to realise how meaningless and super easy lvling had become. I felt really offended, they could have at least said it right from the start that it would be like this, would have save me and many other crafters a lot of time and money.