I think I would tell the person. Explain you know all the love and time that goes into it but it doesnt suit your taste and would hate to just store it in a closet when some one else might be able to love and treasure it.
I am saying this from experience as my DIL put the cross stitched "pooh alphabet" baby afghan in her garage sale. I bought it back as well as other things I have made. Clothes I buy back and give to smaller granddaughter who loves them.
It has really turned me off and I do not "make" her anything else
Good luck on your choice,
Dawn 227