Written by DCist contributor Chris Klimek Arena Stage’s Peter & Wendy is so swollen with visual and musical marvels one might undervalue the performance of Karen Kandel, narrator of this hypnotic take on Peter Pan. She plays Wendy, along with every other speaking part, but this is no one-woman show. Sharing the stage are seven white-hooded puppeteers, and a company of dolls they bring to such astonishing life that it’s hard not to think of…