A New York state appeals court ruled Tuesday that New York City can move ahead with plans to build a new jail to replace Rikers Island in Manhattan’s Chinatown neighborhood, rejecting a challenge from residents who said the process ran afoul of local zoning laws.

A four-judge panel of the Appellate Division, First Department overturned a lower court’s ruling that required the city to restart scoping after officials abandoned a proposal to build the jail three blocks south on Centre Street.

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