and Anya Leon
March 02, 2018 04:25 PM

There’s no sign of sibling rivalry in the household of Nicky Hilton Rothschild.

The heiress — mom to daughters Theodora “Teddy” Marilyn, 10 weeks, and Lily-Grace Victoria, 19 months — spoke to PEOPLE for this week’s issue about how her girls are vibing with each other.

“Yesterday actually was the first time that Lily-Grace held [Teddy],” says Hilton Rothschild. “I’ve sort of been avoiding that because they get a little rough and the newborn was so delicate.”

“It was really sweet because my sister [Paris Hilton] has this picture of her holding me in between her legs so I was able to recreate that yesterday with my children,” adds the mother of two, 34.

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Nicky Hilton Rothschild and daughter Teddy
Nicky Hilton/Instagram

RELATED: Nicky Hilton Rothschild Shares First Photo of Newborn Daughter Teddy: “Kisses + Cuddles”

The first time the two girls met went off without a hitch, too. As Hilton Rothschild explains, “I was told when you’re introducing the babies to let the first one find the baby in the living room or a common area — not your bedroom. And then have a wrapped gift from the new baby to the old baby.”

“It was Christmas time so it worked out perfectly,” she recalls. “We had Teddy in her little chair wrapped up under the Christmas tree with a wrapped present with a doll inside. I went and got my 18-month-old in her bedroom and I said, ‘Let’s go and make breakfast,’ and we walked into the kitchen and she heard some rustling by the tree.”

“She ran over, saw the baby, looked at me and did about five double takes  — she was so confused if this was a toy,” she adds. “She started playing with her dolly — her present from the baby. It worked out really well. So we’re walking around the house, I’m holding my baby and she’s holding her baby. I highly recommend this technique.”

Nicky Hilton Rothschild and daughter Lily-Grace

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The businesswoman and fashion designer recently teamed up with Tolani to create the NHxTolani Mommy + Me collection, which launched Feb. 15.

“I’ve always wanted to do a mommy and me collection since I was a little girl — I just dreamed of it,” she says. “I love fashion design and I always dreamed of having a daughter and being able to dress her up.”

And are she and husband James Rothschild planning to expand their family? “I’m just enjoying the two girls right now, but we’ll see,” teases Hilton Rothschild. “I love the idea of a big family. I come from four siblings and I really believe that siblings are the best gift you can give your children.”

For more about Nicky Hilton Rothschild’s life as a mom of two, pick up the latest issue of PEOPLE, on newsstands now.

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