My bro has a 99 xj... He has a Teraflex Coil Conversion in the rear which gave him about 8.5 inches... He is using TJ coils in the rear and has XJ coils up front. He did the 6" Teraflex Lift and 2" spacers... He did the long arm kit on it as well... My brother didn't want to ruin the body because it is a good lookin cherokee, but he has trimmed the fenders a bit, he is not running flares and is going to have Rocklogic build some tubes which connect to ARB bull bar and rock sliders and rear tire carrier...
He can run 35's on the street, but he rubs like crazy on his control arms or whatever (i don't know) and he would mash his fenders in if he flexed out. He runs 33's when he goes wheeling just so he can have that extra room to flex and articulate. But also the Skyjacker and those other companies will probably clear 35's easier, I don't know.
He has one of the smoothest rides in his cherokee. It handles well and he has had only 1 problem to date... He had Rubicon Express 6" lift TJ coils in the rear and they started sagging, so he put in Teraflex 6" lift TJ coils in the rear instead. He keeps the rear sway bars connected all the time, but drives on the street with the front ones off.