Hello Joe,
Once done, SMAC projects in KDS will also be available in source code as usual. However, this is still under development and will take some time to be completed.
If the compiler price is what is preventing you to use IAR, you could use the kickstart edition of it. It might limit the code size indeed, but it will be enough for SMAC development. The binary files created from IAR could also be flashed using KDS if desired though. A simple drag and drop to the MSD device of TWR-KW2x boards would also do the trick.
Regards,
Angel