A dress up treasure chest.
Old prom gowns, wedding dresses, lace, tulle, costume jewelry etc.
Tear apart the dresses and remake them into elastic waist fairy skirts, veils, capes etc.
Use the costume jewelry to enhance the clothes, or string beads onto strong cords to make necklaces. Be careful of choking hazards though!! Use common sense about the items you are using, and the child whom it is for.
There is a no sew fairy tutu pattern here - it's so easy that anyone can do it.
To make this gift really memorable, include a tiara and a wand. Pack it into a nifty box that looks like a treasure chest (even a spray painted cardboard box with a separate lid would work) and watch a little girl's eyes light up when she opens her gift!