Closer Greg Holland reached agreement with the Kansas City Royals on a one-year, $4.675 million contract.

The two sides staved off arbitration after Holland sought $5.2 million and the Royals countered with a $4.1 million offer before the settlement was reached. The deal includes a $50,000 bonus for making the All-Star team, The Kansas City Star reported Wednesday.

The 28-year-old Holland, who is considered one of the better closers in baseball, is coming off an impressive 2013 season that included 47 saves and a 1.21 ERA with 103 strikeouts in 67 innings.