Hi Caroline,
What a special trip for you and your family! Since you will probably not have a stroller, any of the resorts will work well since you do not have to juggle a stroller and a young child.
I have listed my favorite resorts in each category so you can decide on your budget:
For deluxe, I love the
Yacht and
Beach Club and/or
Boardwalk. With walking distance to EPCOT and Disney's Hollywood Studios, these allow maximum time in the parks not on the bus. The tropical
Polynesian resort is located on the monorail which makes it easy to get to the Magic Kingdom and EPCOT.
For moderate, I love
Port Orleans Riverside. With a quick bus ride to all four parks and its quaint southern charm, it is a family favorite.
For value,
All Star Music has suites available which might be nice if you are sharing a room with the grandparents.
Another option could be a deluxe villa which everyone could stay in one room.
If you are booking two rooms, make sure to ask for adjoining or connecting rooms when making your reservation. Then 10 days before, call the resort directly and ask for the room manager to confirm your request.
Wishing you a magical vacation!
Beth