I started with a couple things from Walmart:
The first outfit:
Removed the lace butterfly, made leggings from the baby leggings (I couldn't find dotted knit fabric anywhere!) and sewed a strip over the tunic where the lace was because removing it made some little holes. Then I shortened the headband into a belt.
Outfit 2:
Made a new top from a fat quarter with butterflies on it, added the butterfly lace and some additional, similar lace from my stash. Used the capris as is.
New dress:
This is the same Walmart line and it also fits pretty well. (Kidz and Cats dolls are 18" but what they call a 'slim' body so American Girl size outfits are a bit too loose.) I'm not totally happy with the dress and I think it needs something, like maybe a lace ruffle around the bottom. I think the bow is a bit too big too. I'm pondering as I poke thru my stash a bit for the right idea.
I'm not sure I've shared any pics of this doll here before. I decided to keep her original name, Grace, because I just think it fits her well.