Threadneedle Property Unit Trust
Fund overview
At a glance
- Open-ended unleveraged UK Real Estate strategy
- Assets are actively and responsibly managed to deliver positive financial, environmental and social outcomes
- Committed to operational Net Zero carbon emissions by 2040 (SFDR Article 8)
Differentiators
- Assets offer high income returns
- Smaller assets offer diversification, liquidity and pricing advantages
- Philosophy favours dynamic weighting to functionally relevant sub-markets:
- Mid-box logistics, industrial parks, retail warehouses, urban offices and alternatives
Investment philosophy
Favoured sectors
Mid-box & industrial parks
Retail warehouses
Urban offices
Alternatives
Threadneedle Property Unit Trust (TPUT) Investment Advisor’s Annual Investor Presentation
There was also an update on decarbonisation opportunities, and how the Fund has enshrined longstanding Environmental, Social, and Governance principals within its Prospectus, encompassing both disclosures under Article 8 of the EU SFDR and a formal commitment to achieve operational Net Zero carbon emissions by 2040.
Responsible Investment Update
Important announcement regarding Net Zero Carbon and SFDR:
We are delighted to share that this process is now complete, and the Fund, and its Luxembourg Feeder SA SICAV-SIF (‘Feeder Fund’), have made formal commitments to promote Environmental Characteristics as defined under the SFDR, which can be summarised as follows:
- In order to achieve net zero operational carbon emissions from its property portfolio by 2040 or sooner, the Fund aims to create sustainable property assets that are environmentally optimized by promoting environmental characteristics through asset selection and active asset management.
- In particular, the Fund has and will continue to (1) improve the environmental performance potential of its property assets, and (2) lower the energy use and carbon intensity of its property assets.
These changes reflect the property fund management activities already being undertaken by the Investment Advisor, and they do not constitute a material change to the Fund’s stated objective to provide Unitholders with an indirect investment exposure to a diversified portfolio of property assets in the United Kingdom. Instead, in seeking to achieve this objective, the Prospectus now clarifies that the Manager and the Investment Advisor adopt an investment approach which aims to deliver positive financial, environmental and social outcomes.
This is reflected in the key performance indicators which the Manager intends to monitor as part of its role:
- Financial – financial outcomes are measured with reference to total return and income distribution performance in relation to the Fund’s financial benchmark (currently the MSCI/AREF UK All Balanced Open-Ended Property Fund Index).
- Environmental – environmental outcomes are measured with reference to climate impact. The Fund aims to improve the environmental performance potential and lower the energy use and carbon intensity of its assets.
- Social – social outcomes may be measured with reference to the qualitative impact that (i) major refurbishment projects may have on tenants and (ii) any other relevant property management initiatives. The Fund aims to record the social value of these initiatives at asset level. The Fund may continue to seek other measures to assess improvements in social outcomes.
This responsible investment approach has now been formalised within the Fund and the Feeder Fund Prospectus’, and reporting against these metrics is already included within the standard investor reports. These changes are consistent with the core roles Columbia Threadneedle plays as responsible partner, investor, employer and citizen, and ensure the Fund and the Feeder Fund are best placed to continue to deliver for investors over the long term.
Fund Manager
James Coke, MRICS, is Fund Manager of the Threadneedle Property Unit Trust, responsible for fund strategy and performance, including delivering the fund’s financial and environmental KPIs. James also acts as Fund Director on two institutional client mandates, having onboarded these in 2020 and 2023. In his role as Co-Head of Institutional UK Real Estate, James is responsible for ensuring the UK Real Estate business continues to grow and diversify its institutional client offering. James is a member of the Property Business Management Team and the ESG Steering Group.
James joined Columbia Threadneedle Investments in 2013, initially in an investment role, where he was responsible for over 300 investment transactions totalling over £2.4 billion. Before joining the company, James worked at JLL, advising clients on property acquisitions and disposals throughout the UK. James is a qualified member of the Royal Institution of Chartered Surveyors (MRICS). He graduated with a BSc (Hons) in Land Management from the University of Reading in 2006.
Insights
2025 Global Real Estate Outlook: Is property at a turning point?
UK Real Estate: Talking Points October 2024
UK Real Estate – Overview Q2 2024
UK Real Estate: Talking points July 2024
Green to gold: realising opportunities from the carbon transition
UK Real estate – Overview Q1 2024
UK Real Estate: Talking Points April 2024
2024 Global Real Estate Outlook
Targeting relative value in listed real estate
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About Us
Millions of people around the world rely on Columbia Threadneedle Investments to manage their money. We look after investments for individual investors, financial advisers and wealth managers, as well as insurance firms, pension funds and other institutions.
Investment options
We offer a broad range of actively managed investment strategies and solutions covering global, regional and domestic markets and asset classes.
Responsible Business
As a leading global asset management group, Columbia Threadneedle Investments aims to deliver positive outcomes that meet the needs of our stakeholders and we commit to always act responsibly, transparently and in the best interests of those who trust us to manage their investments.
Investment Risks
Important Information
Regulated by the Jersey Financial Services Commission.In the UK issued by Threadneedle Asset Management Limited. Registered in England and Wales, Registered No. 573204, Cannon Place, 78 Cannon Street, London EC4N 6AG, United Kingdom. Authorised and regulated in the UK by the Financial Conduct Authority.