How to handle holiday with family and grand daughter that is afraid of dogs.

Children are so busy these days and protective of their kids. This holiday my 2 children are finally coming to our house with their families. But, one of my grand daughters is afraid of dog and they say that to visit i must put my dog in a kennel for the holiday. But, my dog is a 12 year old mild mannered 11 pound Bichon Frise. I would love to have the family together, but my Bichon is a part of the family too. Unfortunately, to kennel the dog, we must also do it for an extended period since the kennel is officially closed and only lightly manned during the holidays to care for the dogs. I am worried that my older Bichon will become afraid, il or something bad will happen. I tried to convince my children to allow me to lock the dog in the guest room, but they are afraid that someone may open the door and that their child will become afraid. What should I do? I don’t want to uproot my family over my dog. But, I love my dog and want to be good to my dog too.