From the student side, having tried both, I must admit I always enjoyed the group lessons more. In the 1:1 situation I felt far too self conscious and kind of stupid - at least with others there I felt like I wasn't alone in my stupidity (and realised that actually I was quite good compared to some of the others

).
Even though the teacher was very nice I just didn't enjoy the 1:1 situation. I imagine it depends on you as much as the teacher, but why not try both and see which you prefer?
The most important part for me was being able to practice outside of classes, because my work was in English and pretty much everyone I knew spoke English. For that I'd highly recommend enrolling in some kind of other practical adult education class - like cookery or painting or DIY, to give you a chance to just hear the language being spoken in a normal setting outside of German class. Make it something where you can follow by copying - so not German literature or something, but anything where there will be practical work as well as listening. I learnt to drive here which did wonders for my German! Also, watch German TV as much as you can stand - start with something like the news (where they generally speak clearly!) or sports programs if you're into football or something.