I recently went through this same issue when developing an examples suite for a .NET control which had to display its own example source code in the application.
The approach I ended up with was as follows.
I created a batch script (run in pre-build) to copy all the code files under /Examples/* to another folder in the solution Resources/ExamplesSrc/*
I then included all these files under Resources/ExamplesSrc/* in the csproj and saved it.
The next step was I set all the files under Resources/ExamplesSrc/* as embedded resource and committed the change to SVN. I did not commit the examples (generated) to SVN, just the modified csproj and batch file.
The effect when developers checked out was that they had (!) icons on all the resources (they were not on disk, but the csproj was looking for them), however as soon as they built the generated files appeared and all was well. This approach also worked with a build server (Team city) and the examples suite can now load and browse its own code via embedded resources.
One caveat you should be aware of. There is a quirk (by design apparently) in VS2010. If an embedded resource has ".cs" in it (i.e. any code file!) it cannot be loaded from the assembly using Assembly.GetManifestResourceStream(). To work around this all source files were renamed in the batch copy step from *.Xaml.cs to *.Xaml.c.txt, from *.cs to *.c.txt
Hope this helps!