2 cents worth.
IFFF, you are really considering a Chev motor swap, then it's probably in your best interest to just drop the whole Cherokee idea completely.
AMC TH400s and Chevy TH400s don't have the same bellhousing bolt pattern, and also have slightly different outputs to the transfer case. So, if you go Chevy powered, you'll be replacing the motor, transmission, transfer case, rear axle, and both drivelines. Plus, some of the early Cherokees have a two piece front axle thingie (doubt yours does, but some did). Anyhow, you'll end up with a complete! rebuild of the entire drivetrain and you'll be installing it into an ugly, big, treebashing brute.
So, if'n I was you, I'd keep looking.
That said, you can install Bronco D20 gears (2.46) into the AMC D20 case (2.02) and that case can easily handle V8 power. There are also HD rear outputs available now, and twin sticks. Novak also makes a HD adapter to replace the cast aluminum factory one for the TH400
Or, you can install a Scout D300 (direct bolt in) behind the T18 if you want. It's a 2.62 low range.
The Novak Adapter website is a great read on the interchangability of parts, and in general a great source of info for what works, and who made what.
T