Ha, I'll be the first to admit I haven't really scienced it, and I certainly haven't waded too deeply into the MiTD pool but.. my good sir... is that really all you've got for automatic upgrades and all the 2e creatures being in one place..? Item 1 is easily resolved by an ethereal jaunt and a handwave, and item 2 isn't even what you're proposing, that's like a bottom level thought exercise where we realize that "all monsters in the pit are 2e" is not the same as "all 2e monsters are in the pit".