I think it will only help to get the market stabilized. How much more can it fall? The true test is whether the rental income can cover the carrying costs and still leave a bit over for return on investment.
The artificially inflated prices were fueled by easy and lax credit criteria by lenders. Property values were increasing by the minute (practically). It had to stop somewhere!
I found the article about the bulk sale; referenced below. The developer and a "partnership" worked out the deal!
I would venture to say- that it is a sign that the market has bottomed already- especially for luxury real estate in a desireable location. I am sure that the bulk of the sales were for lower floor units with inferior views.
BTW; What is a HF?