That paragraph really is correct.
I think the point is that clientConnectAddress is only meant to be used when the client connects through a router that maps an external host name to the actual name of the actual host. The fact that clientConnectAddress is set tells the server that the host name in the InvokerLocator is *not* the real host name, thereby throwing the server into the default case of using the local host address.
The logic is
if (serverBindAddress is set) use it else if (clientConnectAddress is not set) use host from InvokerLocator else use local host address
The local host address, by the way, is obtained by the call
which returns the IP address of the local host.
I'll try to make the paragraph clearer.
Let me try that again. The logic is
if (serverBindAddress is set) use it else if (the host is present in the InvokerLocator and clientConnectAddress is not set) use host from InvokerLocator else use local host address