Daughters First Birthday & In Laws! Help!!?

My daughter will be turning 1 soon and I've already started planning her birthday party. I just want something small, not too many people. I also want it at my grandmothers house, bc they're birthdays are just days apart and my grandma is ill and i hate to say it, but it may be her last. She is very close with my daughter. I named my daughter after her so she feels a special bond. My grandma's house is very small, and she is 87. She has never met my husband's family (which includes his rowdy 2 yr old neice that destroys everything in sight.) Now all of a sudden, my husbands family wants to come for the party. I don't know what to do bc i can't have that many people at my grandmothers. I thought about offering to videotape it for them, but i don't know if its rude of me not to include them. I didn't think they were coming, and i've already made these plans with my grandma. My husband said he'd ask them not to come, but i dont want to put him in the position. Any ideas??