While the whole idea sounds brilliant (heck knows how many times I wanted it to happen), we just have to face the fact that practically every movie based on video games and game franchises end up being really bad to watch (Super Mario Bros being a solid example of this, among others).
That doesn't mean that it's impossible, as long as it corresponds to the franchise just right, has the right cast, a resourceful plot and other things that make a good movie, then it can be done.
The IGN trailer can be a good inspiration, although maybe not in choice of actors (Ganon looks good though). I do feel however that the movie is better off in computer animation (like Final Fantasy: Advent Children) for many reasons, mainly because there wouldn't be any available cast to portray the characters correctly.
I'd say that making a movie on Zelda might end up taking the same route as other video game-movies, but then, as a huge Zelda fan, I'd be willing to see it and give it a try.