Assuming you had a powerhouse PC, I wouldn't see why not. However, I don't think the A6 physics is very friendly to objects stacked on top of one another. The free Newton dll, which will work with A5 and A6 seems to handle this better. Anyway, that would be a pretty cool thing to see if done right.
Go to
www.maxpayne2.com and check out some of the gameplay movies. There's a ton of Havoc 2.0 physics going on in it...lots of destruction and ragdoll stuff. I think one of the Set 3 movies shows a stairwell being decimated...try clip 13.