Happen's Toy Lab is this place in Cincinnati where kids can go and make their own toys out of recycled parts. Kind of like the Build-A-Bear workshop idea but way cooler, kids can take parts from all kinds of discarded action figures and dolls and create a one-of-a-kind toy. The Toy Lab also encourages the children to name their toy and give it a back-story - does it have superpowers?, where does it live? etc. Then they take a picture of every toy and post it on their website. It seems like a fun, creative experience for kids, plus they get to keep their toy at the end.
It's always cool to see people coming up with great ideas for kids (like the folks at Pancake Mountain) and then turn those ideas into reality. Too bad (for me) that it's only in Cincinnati.
Happen's Toy Lab (via Plastic Bugs).
Also, definitely check out the bizarre creations in the Toy Zoo.