Really seems to be the case, despite the fact you can map the RAM either high (0800 0000) or low (0020 0000). If this were to play correctly with the 16-bit RAM, what address *should* it have been set to start at and why wasn't the device configured as such in the first place?
Nowhere in the manual does it talk about sharing RAM this way. Pretty much only mentions the re-mapping of its 32-bit RAM just in case there's a conflict with something else.
You should be able to use the GVP RAM and the VXL-30 RAM at the same time if you set the jumper to map the ram high. You'll need to add the command SETVXL ADDMEM USE to your startup sequence somewhere to add the memory to the free memory list.