We don't have a window. We put a little decorative cabinet w/ a plate rack and a hook for mugs. Kitchen isn't done yet (or started), but here is a photoshop rendering in case it helps it all!

I have a window, but my mother's kitchen has a shelf above hers that she used entirely for display. She varied the display through the years, and I always enjoyed it.

I have a window, but if I didn't I would put up a wall mounted dishrack or the cabinet makers dishrack.

Here is a link that might be useful: remolista space saving dish racks

This shows a corner sink, with no window, but I like the plate rack, with mugs hanging, below. It seems very charming and more decorative, than just a cabinet.

{{gwi:1580532}}

Here's another picture, with open shelves, above the sink.

{{!gwi}}

Hope these give you some good ideas :)

I used the same height cab. but stepped in back in depth. It works perfect for glasses.

Thanks...and hope to see more.
I liked the idea of the plate racks....I could change the color plates and cups to suit my whims.

I have a cabinet but it's not as low as the surrounding cabinets. No good pictures since that wall isn't finished (sigh...) In the past 25 years I've only had a window over the sink for 2 years (2 different rentals).

I keep thinking a towel bar would be the natural thing, but I might go with a more conventional recessed shelf. Or both.

With a tiny high shallow cabinet over top.

You either need to have the cabinet higher or further back than its neighbors; otherwise it can be quite claustrophobic. The plate racks are cute but realistically hold very little, and you're actually not going to stick dripping dishes into your new cabinet wood anyway. A cab there is an extremely convenient place to store glasses, as eandhl mentioned above--not only for putting them away, but grabbing them for a drink of water.

You will have room to add something decorative even below a cab. I've had a shallow shelf, hanging antique Italian demitasse, a (glass-covered) small painting, all sorts of stuff.

Having dedicated one long wall of my small kitchen to almost floor to ceiling windows and french door/transom and the other long wall mostly open to the dining room, I needed the storage over the sink.

My cabinet/shelf combo is neither higher nor further back than adjoining cabinets and it is not claustrophobic. The cabinet had to be functional so the shelf over the sink is the same 18" above the counter as the other cabinets and the light rail runs straight across it. The cabinet over the shelf is 7" above the shelf.

The shelf holds a variety of small, colorful antique china and handmade pottery - egg cups and holders, small cream pitchers and sugar bowl, small miscellaneous bowls, etc.