Grandmother

Grandmother is an antagonistic entity in Albino Lullaby.

Little is known about her, but the Grandchildren seem to fear and respect her.

She used to be a little girl named Alice, but it is unknown how she transformed into the creature seen in game. However, upon looking into a mirror, Alice appears to be turned into a Walkling after being put in a chair by her father.

Appearance
Grandmother appears in Episode 1 as a giant monstrous tentacle creature that has been sedated by the Grandchildren (possibly due to fear of waking her up as this could destroy the mansion) with notes claiming she was once small but grew larger due to her large appetite.

Piotr has apparently met her, and describes her as a "hideous abomination".

Personality
Based on how the Grandchildren talk about Grandmother, along with signs mentioning her around the mansion, it is implied that Grandmother is extremely strict and fond of rules.

The Grandchildren gravely fear displeasing Grandmother, but seem eager to "visit" her. It is unknown what exactly a visit with Grandmother entails. However, after the visit, small slices of Grandmother's flesh are available to be taken as souvenirs of said visit.

The countless rules the Grandchildren (are supposed to) follow seem to be set up in order to please Grandmother. It is possible that Grandmother made the rules, but also possible the Grandchildren govern themselves.

In Episode 1 it reveals that Grandmother has been kept on round-the-clock sedation by the Grandchildren due to growing so large that they had to renovate a part of the mansion just to fit her inside. Signs say that if woken up she would express uncontrollable rage that could possibly destroy the mansion. They mention in a note how the gears were "pinching her fats."

Episode 1
In Episode 1, it is implied that Grandmother creates the bubbles at the beginning of the game to free the player. She is alluded to throughout the game by Cornelius and the rest of the Grandchildren, until the player finally visits her near the end of Episode 1. The player then removes her sedatives and wakes her, causing her to scream and writhe. She nearly consumes the player, but a cave-in saves them at the last minute. Cornelius then calms Grandmother, singing her to sleep.

Episode 2
Episode 2 shows Alice's life before her transformation into Grandmother. She is imprisoned in a bedroom for disobedience, and is granted visiting times with at least Buck. Alice has dreams of a "fleshwalker" who will free her in the future. It seems that, when not receiving a visit, she must be restrained to a chair. Buck claims to be her father, and alludes to her mother, saying that Alice "is [her] mother's daughter."

Shanghai Eclipse
In Shanghai Eclipse, a man is seen explaining how the crew captures and kills whales to Alice. She seems horrified by this, and the man reassures her that they will not harm the narwhals.

Speculation

 * Piotr's note includes the words "Will she never die?!" in reference to Grandmother, which may imply that she is older than a normal human lifespan.
 * Paintings show a figure always around with children which could possibly mean that the paintings depict her appearance before she became a hideous abomination.
 * One note says: "...the dead spring like water and turned to angry bats as they flew back up, across the threshold that made the girls so sick." What looks like black ghosts with white eyes can be seen as the player plummets toward their encounter with Buck.