I haven't liked anything Sondre Lerche has done since Two-Way Monologue, but this cover of my favorite track from MPP is great - I feel like people can't get past the crazy production to realize how beautiful this song is.
Live covers I've seen/heard that haven't produced acceptable footage: Ben Gibbard - All Apologies Colin Meloy - A Case of You New Amsterdams - Hey Ya New Amsterdams - Cry Me a River
I know most of you probably don't like DMB very much but their version of All Along the Watchtower is awesome. Especially with Tim Reynolds shredding the solo.