This process will not work in Xcode 11 or below. Binary distributions are only compatible with Xcode 12 or higher. First open your project in a compatible version of Xcode.
For information on the compatibility requirements for Xcode 12.2, see Xcode 12.2 RC Release Notes. The SDK comes bundled with Xcode 12.2 RC, available from Beta Software Downloads.
The macOS 11 SDK provides support to develop apps for Macs running macOS Big Sur 11. So, that is the minimum requirements for XCode. Technically, you can run XCode 1.0 on a G3 iMac with 128MB RAM running Mac OS X 10.3. It started out life as 'Developer Tools' then was rebadged XCode with Mac OS X 10.3.
