My dad says my step mom designed this over their sink between two cupboards, and I liked it so much I made my own for over my sink and between the two cupboards. Make sure you take good measurements before going to the hardware store and getting the materials. This project probably cost me $20.00 or less for the materials. We did another one for over the sink in our upstairs kitchen, and that cost even less because we had an old closet rod we repurposed.
NOTE: If you want to use S hooks instead of cuphooks, that's an option too and then you don't have to drill holes in the dowel rod, but you will in the cupboards to install the holders...the benefit of the S hooks is that you can slide them aside to make room for more S hooks and stash more stuff...(credit to Doreen Fish for that idea.)
Measure the outside of the two cupboards above and between your kitchen sink from the ceiling to where you want the rod to hang. Mark. This is the spot where you will install the closet rod holders.
Install the rod holders and then measure from inside the one holder to the other holder on the other side and this will be the length you want your rod to be.
Cut your rod/dowel to the required length and double check that it fits the holders. If it's too big, no worries, just trim until it's the right length. If it's too short...well...might have to start over.
Next mark off how ever many hooks you want. I think I spaced mine about 3 to 4 inches apart. Drill the holes with a bit about the size of the thread end of the cup hooks.
Install your cup hooks and then hang the rod up in the holders and hang all your tools that you want on it up. And voila...a successful DIY project and a more organized kitchen. And you didn't break the bank either.