The effect of heat treatment on the microstructures and tensile properties of a powder metallurgical (PM) TiAl based alloy has been investigated in this paper. The near gamma (NG) microstructure is transformed to a full lamellar (FL) microstructure with an average grain size of 100 µm by heat treatments. The lamellar spacing of FL structure decreases with the increase of cooling rate. For cooling rates of 5, 10 and 50 °C/min, the lamellar spacing is 1.9, 1.0 and 0.8 µm respectively. The room temperature tensile properties exhibit an increasing trend with decrease of lamellar spacing.