I think Frostbite 2 is best with physics

Wrong! You should check out Geomod best physics engine

GeoMod 2 now

http://www.youtube.com/watch?v=9I41DRJ43Kg

Ease of destruction (for anybody who deosn't know thats an option on the 1st game) is too low in this demo though structures are holding together too long, when they should collapse earlier.