I wouldn't drop a dime into a D35. Garbage, even with not much bigger than stock tires. As soon as you add taller gears, you're putting more stress on internal parts that are already weak. If I were you (and I just did this myself), I'd go with a Ford 8.8 and regear it to 4.88 so you have your 5th gear back.
Denis A. Baldwin
1991 YJ 99 Vortec 5.7L, SM465, NP205, 14 Bolt Rear, Dana 60 Front, 5.13 Gears, Detroit Lockers, 395/85R20 46" Michelin XML tires on 20" XD Wheels, Cherokee Offset Springs (10" front to back stretch total), Bilstein 5150s, 1in. BL, custom cage, Warn M8000, Double D Dash/OHC, 4Low Front Stinger Bumper, DirtWorx Rear Bumper WTC, Tube Fenders, Comp Cut, 1 Ton HD Kingpin High Steering and PAID FOR.