It's possible to use your SMSF as part of a property development, but it's crucial to follow the appropriate rules and regulations to avoid penalties. One potential structure could involve an Unrelated Unit Trust where your SMSF holds no more than 50% of the units and the other unitholders are unrelated parties. Under this arrangement, the unit trust can borrow funds to complete the development, and the in-house asset rules will not apply. However, it's essential to seek professional advice when considering this option.