We recently redecorated Sam's room. We figured we'd do her room first and make it a big special deal so that a) she won't pitch a fit when we put together the baby's room, and b) we can use her crib and armoire in the baby's room.
It's pink and yellow with flowers and butterflies, and I've gotta say that, even though I'm so not Martha Stewart, it's turned out adorable. I'm actually proud of myself.
With the new room came a new big-girl bed. She had been sleeping in a toddler bed, but we got her an actual twin bed. Of course, no matter how cool it looks and how much she loves her new room, adjusting to a new bed is tough. So she's been in my bed in the middle of the night a lot lately.
Disclaimer: I'm a fan of co-sleeping. I think snuggling up to a sleeping baby or kid is among the sweetest times you get with them. Feel free to disagree with me. My husband does.