Yeah I would agree with the cost being OK, but what isn't OK is that HE should take the loss for a miss quote, not the customer. My disposition would be to pay him, but let him know you are unhappy with the quote being so far off and "it would be nice if I could recommend you to others...but". Whenever I quote a job, I stick to it, even if I take the hit (graphic design).
If it looks nice, the deal you received isn't too bad, although I'll tell you, I think I would buy sand and stoot for a day myself for 1000!