Bank of Cyprus has reported strong performance in its real estate sector, with its Real Estate Management Unit (REMU) generating significant gains from the sale of assets acquired through debt-for-property swaps.
Since the beginning of 2019, the bank has sold repossessed properties worth approximately €1.4 billion. This figure significantly exceeds the €0.5 billion in property assets the bank took on during the same period.
In 2025, REMU completed property sales with a book value of €264 million, a sharp increase from the €175 million recorded in 2024. Profits from these sales reached approximately €12 million for the year, compared to just €1 million in 2024.
The unit took on €10 million in new property assets through debt-for-property swaps during 2025, down from €30 million the previous year. As of December 31, 2025, REMU managed assets with a book value of €377 million, representing a 43% year-on-year decrease from the €660 million held at the end of 2024. This reduction was primarily driven by a major asset sale in June 2025, allowing the bank to meet its target of reducing the portfolio to around €0.5 billion ahead of schedule.
Sales spanned all property categories, though land accounted for approximately 43% of the total mix by value in 2025. During the year, the unit executed sales agreements for 382 properties with a total contract price of €290 million. In 2024, it had agreed to sell 486 properties for a total of €194 million.
REMU is currently in advanced stages for additional property sales worth €18 million, half of which are already under signed agreements.
In its financial results, Bank of Cyprus stated that net profits from the revaluation and sale of real estate investments and stock reached €9 million for 2025. This figure comprises €11.5 million in gains from sales, offset by €2 million in net revaluation losses. In contrast, the bank recorded a net loss of €1 million in this category during 2024.
The bank attributed the annual increase to higher sales volumes in line with group strategy, though it noted that REMU profits may continue to fluctuate.