Favorite Party Games

I love the bean bag toss & capes from another poster (was all I tought of)
-hide little grovers for them to find & play with (poss even to take home?)
-have them decorate Grover cookies (plain round sugar cookies, blue frosting etc.)
-have them toss blue balloons around to each other
-make the little capes for each child to wear then take a photo of all of them together.
-make blue cupcakes w/eyes on them
-decorate the living room like Sesame Street complete with a new clean
metal trash can w/a Oscar the Grouch peeking out of it
-hand out homemade Sesame Street signs to take home
-make a big green banner in the shape the Sesame Street to hang up
-you can even decorage bright blue snow hats w/eyes, nose & mouth to
send home with them to wear later
-turn on Sesame Street for a little bit for them to watch at some point for
a few mins (tape the show or buy a DVD)
-decorate w/blue & red streamers & balloons
Have a fun party!

You might be able to find some grover themed games on pbs.com.

Can't go wrong with pumpkin bowling. One small pumpkin. Six water bottles (you could print - or draw - Super Grover and tape the pictures over the labels). Perhaps masking tape on the floor for bowling lane lines. Whole thing should cost under $6. Fun for all.

When I was a kid my brother had a Grover puppet and we have pictures of us holding something ( a clothespin maybe) in Grover's mouth and trying to drop it into a bucket. I think they sell puppets on the PBS website. If not, you could drop something into a bucket that you drew a picture of Grover on.

I think any kind of traditional party game that you put a sesame street twist on will be great. Bean bag toss (into a big coffee can - or even have several all grouped together to make it easier). any kind of running game. Maybe make some simple capes and they need to "fly" to a tree to save a kitten (paper cut out) and return for the next Grover in the relay.

Just let them play! It is hard to keep kids that age all going in the same direction. Just did a party for my 4 year old. They were good for one of the three activities I had planned, and then they just ran! Cake and presents were the only thing that brought them back. Fifteen minutes later they were all gone again. Didn't even get a group picture. :(

This may not fit theme.. But we did a "treasure dig" for my dd 3 yr party. This entailed filling a few bins with playsand and burying rings, necklaces etc from oriental trading co in there. Kids loved it. It was an outside pool party so clean up was easy. I don't know if I'd get too carried away with structured games, at that age kids just want to run around with other kids and play.