Avondale Mills property in the heart of Pell City has stood vacant for years.

The Pell City Council has agreed to settle the disputed value of a one-acre city well site on U.S. 231 South for $1.1 million, avoiding a civil trial that was set to begin this week.

Mayor Bill Hereford and council members approved the settlement after a 25-minute closed meeting Monday night.  Jurors were selected that afternoon to hear arguments on Tuesday from attorneys for the city and Pell City-Tifton Properties LLC, but the council’s decision precluded any action by St. Clair County Circuit Court.

“This will end the litigation,” city attorney Alan Furr said shortly after the settlement was reached, adding that the city will only be responsible for paying its own legal fees.  Council members made no statement Monday, and Mayor Hereford declined to comment Tuesday afternoon, saying that either party or Judge Charles Robinson hadn’t signed the settlement at that time. 

Furr was unavailable for comment as of press time Wednesday.

The settlement calls for the city to pay Pell City-Tifton Properties $1.1 million for the former Avondale Mills property, which includes a well that has for several years provided about one-fourth of the city’s water supply. 

Councilman Greg Gossett, who made the motion to settle the civil lawsuit, said that the payment amount includes all of the city’s indebtedness on the property, including any outstanding lease claims.  Furr said that the city would retain all water rights to the property.

Pell City-Tifton Properties bought most of the former Avondale Mills property, including the well site, in 2007.  It initially offered to sell the one-acre well site to the city for $1.9 million, but city officials said than an independent appraisal valued the property at slightly more than $300,000.

A commission appointed by Probate Judge Mike Bowling had set the fair market value of the site at $750,000.  City officials contended that the appraisal was too high, while company officials said it was too low, prompting both parties last year to appeal for a decision in circuit court. 

Lauren Heartsill and Michael Mee contributed to this article.