An agreement was reached Wednesday to keep a U.S.-born foster boy in Oregon, and also give the parents he's known since he was four months old clearance to adopt him.

 Slideshow: Photos of Gabriel with his foster parents and grandma

This despite a recent ruling that he go to Mexico to live with his biological grandmother.

 More: Read ODHS statement on decision

Background: Gabriel Allred custody case

Gabriel Allred's biological grandmother, Cecilia Martinez, flew to PDX Monday morning, to fight the legal battle in person. But after meeting with the Oregon foster family and a mediator, she changed her mind.

The parties reached a successful settlement Wednesday. The agreement allows Gabriel to stay in Oregon and clears the way for the Steve and Angela Brandt to adopt him, and guarantees that Gabriel will have regularly scheduled contact with his extended family in Mexico.

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They are working on a schedule that calls for regular exchange of letters, photos and access for Martinez to come to Oregon as well as having Gabriel visiting his family in Mexico. He will also take Spanish languages and learn about his Mexican Heritage.

KGW photo

Gabriel Allred.

More details were being worked out.

The Brandts are devoted to the little boy they have raised from infancy as foster parents. They have been in custody of the boy after his Mexican father, a convicted sex offender, and his American mother, convicted on methamphetamine charges, were stripped of their parental rights.

The Brandts asked a judge to give them permanent custody before the state could take him.

Conservative broadcasters and columnists have sided with the Brandts, including radio talk show host Lars Larson of KXL-AM in Portland and Lou Dobbs of CNN.

Angela Brandt said Wednesday she could not discuss details but she and her husband were relieved the battle was finally over.

"It was heartbreaking," Brandt said. "Now it's time to celebrate."

She said that she and her husband met with Martinez, who arrived in Oregon this week as part of the mediation effort.

"And we have a great deal of compassion for her," Brandt said, adding that they will make sure Gabriel gets to know his grandmother and extended family.

Martinez had previously told one TV station in Portland that she was remodeling her house in San Jose Miahuatlan, outside Mexico City, to prepare it for Gabriel, whom she had not met. She told the station that Gabriel would have everything he needs in Mexico, and that his aunts and other relatives would help raise him and take care of him.

Brandt said Gabriel already has everything he needs in Oregon -- a rural home with pets and plenty of land for Gabriel to play with her four sons, a loving father who is a deputy sheriff, and most importantly, familiar faces who have been his family since he was four months old.