I have the Kritter set too, got off craigslist for $20 - I hit a jackpot in that the set included a bench that IKEA since discontinued. DS loved it.
What I did is paint the tabletop in chalkboard paint and install a paper roll on one end, similar to higher-end art/craft tables that Alex Toys makes. We have it pushed against the wall, and on the wall there is a bar (got in IKEA accessories dept) from which we hang little baskets with crayons, chalk etc. Works great, looks cute. I think it might be too small for two children, though, so we'd get a bigger table at that point.