Another way to do it, and recommended in the SBJson documentation:
http://deshartman.wordpress.com/2011/09/02/configuring-sbjson-framework-for-xcode-4-2/
Basically, you include the sbjson framework as a project inside your project, then link your binary to the framework. The framework is then compiled separately, thus no ARC conflict.
Note that it is important how you drag the SBJson.xcodeproj into your project - make sure that it is in the file tree of your project, not created as a separate project that makes a workspace. The link above shows a screenshot of how it should look. Note that after I dragged the SBJson.xcodeproj into my project, I had to restart Xcode to get it to show up right.
Another way is to use workspaces. You would create a workspace that has both projects, then link the sbjson framework in a similar way. When I did this, there was no need to add anything to "target dependencies" as shown in the link above, but I did need to add the project in "link binary with libraries". Here's how this setup looked on my machine, where "SBJSONTestWorkspaces" is the name of my project where I want to use SBJson:
Here's some documentation on workspaces:
http://developer.apple.com/library/mac/#featuredarticles/XcodeConcepts/Concept-Workspace.html#//apple_ref/doc/uid/TP40009328-CH7