The Conway City Council passed a resolution to offer $60,000 to settle a lawsuit against the city during a called meeting Friday.
Attorneys with the Arkansas Municipal League attorneys advised aldermen to approve the settlement.
"This is a land-use case," Attorney Mike Mosley said. "Land-use cases can be very expensive."
Daniel Spatz and family filed the lawsuit in 2014 when the city opened a new municipal airport near their residence.
The lawsuit claimed "their property values had been negatively affected due to the proximity to the airport."
Mosley said the lowest settlement the family had asked for before agreeing to the $60,000 was $300,000.
The city will pay the $60,000 from the Conway Municipal Airport 2017 fund "to avoid further expenditure of resources."
Aldermen Andy Hawkins, Shelley Mehl, Mark Ledbetter, Theodore Jones Jr. and Shelia Isby approved the settlement while Aldermen David Grimes, Wesley Pruitt and Mary Smith were absent.