This is clever...and charming. Take a look at ohkimma's beautiful nursery. We love everything about it but we immediately were drawn to the adorable clothes hanging off of a simple drying rack at the foot of the crib.
A budget-friendly way to hang clothes (and blankets, quilts) in a nursery if you don't have a closet or would rather have the items on display.
Here is something similar for $9.99.