A State Superior Court ruled Thursday against the City of Newark's plan to seize 14 acres of downtown homes and businesses under the premise of eminent domain.

The court rejected the five-year-old plan, designed by former Mayor Sharpe James, that would have bulldozed the area surrounding and including Mulberry Street and made room for new retail stores and about 2,000 condominiums.

"A municipality cannot take property for redevelopment solely because it believes the land is not fully productive; and can be used for something more beneficial to the general welfare," the ruling states.

George Mytrowitz, fourth-generation owner of an auto-body shop founded in 1941, was thrilled with the court's decision.

"We're probably the first body shop in the City of Newark and we have a lot of name recognition with many people that live here and work here," Mytrowitz said. "We didn't think it was right for us to lose that."

A spokesperson for Mayor Cory Booker said he has not yet decided if the city will file an appeal.