The effect of Ti and rare earth elements (RE: Ce + La) addition on properties of Cu-14Al-4Ni shape memory alloy (SMA) with austenitic structure at room temperature was studied by implementing different characterization methods. The experimental results proved that combined adding of Ti and RE has significantly decreased the grain size and improved mechanical properties of the alloy. Microstructural observations showed that addition of Ti and RE caused secondary phases formation in the austenitic microstructure of the alloy at room temperature. The fracture strain was improved from 2% for Cu-Al-Ni to 2.9 and 3.5% for Cu-Al-Ni-Ti and Cu-Al-Ni-Ti-RE, respectively. Furthermore, the fracture mode altered from complete brittle intergranular fracture to a mixture of intergranular fracture and transgranular cleavage fracture with some localized dimples around particles of the secondary phases. The martensitic transformation characteristics have been also modified by adding Ti and RE. Thus, these elements can be considered as an efficient tool for tuning functional properties of Cu-Al-Ni SMAs.