This is almost more folk art than folk technology, but it is way extreme. Sent in by Michael Krakovskiy, it shows a 12-15 story skyscraper built of wood built by Nikolai Sutyagin in Archanglesk, Russia, shown here. Called a Izba, in smaller sizes it is a traditional Russian wooden dwelling.
Michael has more of the story based on his own research posted on his blog Deadprogrammer's Cafe, but here's a few paragraphs:
"When Perestroyka came about Nikolai Sutyagin used his money to start a lumber and construction business which brought him a substantial fortune. Now he needed a suitable residence. At first he planned on building a huge two story wooden house. Wooden structures are limited by law to two stories for fire safety reasons. At first he built a refrigerator sized wooden mock up. He liked the scale, but didn't like the proportion of the roof. He decided to elongate it to achieve a more pleasing proportion. Then he started building working with his team like in the old times, but using the timber from his own company. When he was about done with the roof, he decided to build it up a little higher so that he could see the White Sea from the very top. Even though his building has two stories, the roof spans 11 more (some articles estimate the structure to have 12 stories, others - 13 and even 15).
The government and his neighbors hated Sutyagin's masterpiece. Fire hazard or not, it stands in the middle of a rather poor village, yet it's higher than the tallest cement building in the city of Archangelsk itself. The city government ordered the structure to be torn down, but the order was never realized as far as I know. But Sutyagin was accused by one of his employees (who stole $30,000 from Sutyagin) of beating him up and imprisoning him in a shed. True or not, Sutyagin got 4 years of prison. He was let out in 2 years. While he was away his company was looted like Baghdad after the war. Now he and his wife and daughter live in the unfinished skyscraper that he built."