PPT will partner with cities, municipalities and states to provide alternative funding to projects that would be otherwise unfunded, she says, by investing in properties or loans secured by properties. Because these investments are sale-leaseback transactions, the properties will be managed by the tenants.

Investment decisions will be made on a case-by-case basis, she says, but generally sellers will have long-term leases with multiple renewals and repurchase options.

The new company, Williams says in a statement, "will allow any government, quasi-governmental organization, or not-for-profit entity--including those with limited sources of funding, borrowing limits and other constraints--to unlock the embedded value within its real estate. Public Property Trust will provide alternative funding that can revitalize neighborhoods, fund new educational facilities, finance large-scale mixed-use projects, or support ongoing operations."