LOS ALAMITOS, Calif. -- Cottonwood Christian Center and officials of the city of Cypress have signed an agreement that allows the church to develop a planned 28-acre campus-like religious center.

The 4,000-member congregation has outgrown its Los Alamitos facility and has wanted to relocate to a larger property for more than a year.

According to the Long Beach Press Telegram, the deal ends a legal effort by Cypress officials to block the construction of Cottonwood's religious center on a church-owned 18-acre site. The city wanted to use eminent domain to put a Costco retail store there.

A legal tussle developed last year when church officials filed lawsuits in state and federal courts in January 2002, asserting Cypress was discriminating against the "non-tax generating religious institutions and favoring tax-generating users such as large retailers."

On May 28, the Cypress Council voted to use eminent domain to acquire the church property. The city soon afterward deposited $14.5 million into escrow, prompting the church to seek an injunction in federal court.

A U.S. District judge granted a preliminary injunction, ruling the eminent domain grab could violate the freedom of religion provisions of the U.S. Constitution.

However, at the time of the August ruling, attorneys for the city and church said they were close to a deal. A tentative deal was disclosed in October, and Cypress Council agreed to it Monday during a special session.

For the moment, Cottonwood officials want the purchase deals completed and the conditional use permits approved before they sign off on the escrow and agree to drop their lawsuits, according to church spokeswoman Mary Urashima.

Amid all the wrangling, Cottonwood decided it needed more room, and sought 10 additional acres for its new property. It will pay about $17 million for the entire lot, and about another $25 million for the new facility.

Church officials hope construction will begin by Aug. 31.

"It's been a long journey for us," said pastor Bayless Conley.

Cypress Mayor Frank McCoy said the agreement is in line with the city's land-use and redevelopment plans.

"We welcome Cottonwood into our city and look forward to a continued spirit of cooperation within our community," he said.