You'll be hard-pressed to squeeze close to 20mpg out of a TLC, but it's a great platform... budget will hold you back from that though.
My recommendation is to look at a Nissan Xterra - Jeeps and Toyotas are popular and demand a bit of a premium in the used market - you'll likely not like what you find in the 10k range in Jeep and Toyota circles.
You might hear the Montero and Trooper crowd chime in - good vehicles if you can find them in decent shape.
Issues with Xterras are relatively few, well-known and well-documented (particularly the Strawberry Milkshake of Death [SMOD]). You can prevent them pretty readily, too.
For $10k, you can find a used Pro-4x or Off-road (2007-2011ish) 2nd gen model with locking rear differential. They all come with roof racks, and decent (albeit a bit utilitarian) interiors. Very comfortable, tows better than a 4-door wrangler unlimited, and decent off-road chops. If you don't need the rear locker, the S and SE are great too, and you'll be able to find them up to about 2012-2013 for that price range.
I've had a lot of jeeps and recently went from an Xterra to Wrangler Unlimited because of a pathological/romantic need to have a top that can come off, but I really rarely put it down. Otherwise, I would have gotten another Xterra.