Elf house on a tree! That would be cute in the garden, especially in the tree over grown with ivy. How about some battery tea lights in the windows during outdoor parties. I hear the fairies/elves whispering "home school project" in my ear.
As a really common recycled material, wooden pallet you might have used them to make something useful for your home. You know they have endless potential can be transformed to a lot of stunning DIY projects serve for home.