One high hanging rod + miniature dresses = tons of wasted space. Here's how to use it more wisely.
Create vertical storage. A hanging sweater organizer keeps everyday tops and bottoms in the open. It's also great for baby blankets and diapers.
Offer a seat. A small storage ottoman provides a place to sit while lacing up or a boost to reach higher shelves. (You can also stash shoes inside it.)
Recycle furniture. Slide in Grandma's hand-me-down bookshelf or an old chest of drawers for no-install shelving.
Weave in baskets. Toss belts or bow ties into a bin that is easy to rummage through and light enough for kids to pull down on their own.
Don't hide undies. Little drawers can get lost in big ones. Put small items (underwear, socks, hair bows) in clear paint cans. (Lose the lids so kids can get at them.)
Extend their reach. A hanging bar extender attaches to an existing rod and creates lower levels for smaller clothes. It's easily removed as kids (and their shirts) grow.