The London Borough of Hounslow has outsourced its property investment management to Threadneedle Investments and allocated £20m (€23.5m) to the TPEN Property Fund, part of Threadneedle’s Pooled Pensions Funds range.

Threadneedle’s TPEN Property Fund invests mostly in direct commercial property across the UK.

Lorelei Watson, head of treasury, pensions and capital at Hounslow, said the pension fund liked Threadneedle’s active approach to property management and its focus on stock picking, risk management and income yield.

“Instead of chasing trophy assets, its investment experts look across sectors and regions to find properties with strong fundamentals and attractive yields,” she said.

Don Jordison currently manages Threadneedle’s property investment team, which manages £6bn in UK property assets.

Moira Gorman, Local Authority Client Director at Threadneedle said winning such a high-profile mandate was “testament to the strength of our offering” in UK property and the pooled pensions space.

The Hounslow Pension Fund, valued at approximately £690m, has more than 18,750 members.