I probably wouldn't have done a 'friend' party this early in life, but I have felt so badly about yanking Gracie away from all her cousins and aunts and uncles and grandparents and this girl needed a party!
We invited about 12 kids from our ward with their moms and had a little shin-dig at a park. The kids loved playing and eating pizza. Gracie got some fun presents and then they all ate the caterpillar cake. My mom made me a cake like this when I was in kindergarten and I thought it would be cute and easy to do for her. It was a hit!