The Bank of Cyprus has witnessed a remarkable surge in property sales and profits, particularly through its Real Estate Management Unit (REMU), which has excelled in generating substantial gains from assets acquired via debt-for-property swaps.
Significant Property Sales Since 2019
Since the start of 2019, the bank has successfully sold repossessed properties valued at approximately €1.4 billion. This figure notably surpasses the €0.5 billion in property assets the bank took on during the same timeframe, reflecting a strategic shift towards optimising its real estate portfolio.
Strong Performance in 2025
In 2025 alone, REMU completed property sales with a total book value of €264 million. This marked a significant increase from the €175 million reported in 2024. The profits from these sales soared to approximately €12 million for 2025, a notable leap from just €1 million in the previous year.
Asset Management Dynamics
The unit took on €10 million worth of new property assets through debt-for-property swaps during 2025, a decrease from the €30 million in 2024. By the end of December 2025, REMU managed assets with a book value of €377 million, showing a 43% year-on-year reduction from the €660 million held at the close of 2024. This reduction was primarily due to a major asset sale executed in June 2025, helping the bank achieve its target of trimming the portfolio to around €0.5 billion ahead of schedule.
Diverse Property Categories
The sales encompassed various property categories, with land making up approximately 43% of the total value in 2025. Over the year, REMU signed sales agreements for 382 properties, amounting to a total contract price of €290 million. In contrast, 2024 saw agreements for 486 properties valued at €194 million.
Future Sales on the Horizon
Currently, REMU is in advanced discussions for additional property sales estimated at €18 million, with half of these already under signed agreements, indicating a continued trend of robust activity in the real estate sector.
Financial Results Reflect Positive Trends
In its financial disclosures, the Bank of Cyprus reported net profits from the revaluation and sale of real estate investments totalling €9 million for 2025. This figure includes €11.5 million in gains from sales, offset by €2 million in net revaluation losses. This is a stark contrast to the net loss of €1 million recorded in this category during 2024.
Strategic Growth and Future Outlook
The bank credits its annual growth to increased sales volumes aligned with its group strategy. However, it cautioned that profits from REMU may continue to experience fluctuations as the market evolves.
