Yeah, the limit on ram is going to be how much free address space you can get. You wouldn't be able to put ram in the first 16mb, but zorro 3 cards would also cause you to lose more ram.
That's what you have address decoders for. For example, let's say you have 2GB RAM in the address space 2GB-4GB - how would that cause a problem for zorro 3 cards when the address space is inaccessible via the CPU slot?
As I said, the accelerator can access the chipset just fine, and will have its own fastmem locally which is _not_ limited to 128MB.