I understand what you're getting at (not wanting to geocode an entire database). The whole concept of geocoding was new to me when I first started dabbling with Google Earth, and I found the wikipedia article at:
http://en.wikipedia.org/wiki/Geocodingto be very helpful for an overview. It's actually quite a fascinating area of endeavor (but I'm weird). There's a lot of info on this BBS about geocoding as well; for the longest time I had no idea what they were talking about!
Seems like someone's going to have to chime in with the correct .kml syntax (if possible) to do what you want with the <address> tag, or you need to have an intermediate geocoding step to look up the coordinates of the address, and then generate a placemark from that. I agree that the former would be much more elegant.
FYI, I've found that for the US, a street number and name, and the zip code are sufficient for an address to be correctly geocoded.
e.g., 1640 Lindbergh, 63131
Final note, geocoding often results in imperfect results. The address above is for the St. Louis County Library HQ, but the GE lookup placemark coordinates returned place it about 100 yards away in a totally different building. This is primarily due to interpolation of location between two datapoints. I.e., the first location on a block gets a lat/lon as does the last location; everything between is interpolated with the sometimes erroneous assumption that each building/house is on identically sized plots of land.
I love this stuff!