New commercial property fund to be launched?

A new commercial property fund supported by Barclays Wealth is to be launched soon, it has been suggested.

Threadneedle Investments is believed to be preparing to unveil Strategic IV, a close-ended and leveraged property fund for both domestic and overseas real estate investors.

Citywire reports that the firm hopes to raise £350 million over the next year through the fund, which Barclays Wealth will hold a fifth of total equity in.

Peter Mackaness, property investment specialist at Threadneedle, told the website: "Retail is out of favour and we tend to go counter-cyclical. We will focus on offices and try to buy areas where there is not a massive supply."

A recent study by Jones Lang LaSalle found that London is the top European location for retail in terms of both commercial property rents and consumer spend.