CPI Europe has finalized the acquisition of a significant residential property portfolio in the Czech Republic, known as CPI BYTY, comprising almost 12,000 apartments across key cities and regions. Valued at approximately €892 million as of mid-2025, this transaction marks a major step in CPI Europe’s strategy to expand its residential sector footprint and capitalize on rental growth opportunities in Central Europe. The deal, consummated in November 2025, includes both the properties and associated operational management platforms, positioning CPI Europe for long-term growth and diversification.
Portfolio Overview
Size and Location
The purchased portfolio, CPI BYTY, encompasses nearly 12,000 apartments primarily located in Ústí nad Labem, Liberec, Třinec, and Prague. These regions represent some of the most dynamic residential markets in the Czech Republic.
Financial Valuation
Independent appraisals placed the portfolio’s value at €892 million as of June 30, 2025. The portfolio produced a gross rental income of around €38 million in 2024.
Rental Growth Potential
Reflecting strong market fundamentals, the portfolio recorded a like-for-like rental growth of approximately 9% during the first half of 2025, signaling positive rental reversion prospects.
Transaction Details
Purchase Price and Financing
CPI Europe paid about €605 million to acquire the portfolio. Approximately half of this amount was paid immediately in cash, while the remainder is financed through a multi-year vendor loan extended by a subsidiary of CPI Property Group, CPI Europe’s parent company and related party.
Inclusion of Management Platform
Besides the residential properties, the acquisition includes the existing operational and management platform, facilitating continuity and efficient portfolio management under CPI Europe’s oversight.
Strategic Intent
The transaction aligns closely with CPI Europe’s broader strategic goals of achieving diversification in asset classes and geographical reach, fostering long-term sustainable growth within Central Europe.
Implications for CPI Europe
Portfolio Expansion
With this acquisition, CPI Europe significantly expands its residential asset base, complementing its existing portfolio valued at €7.82 billion, and strengthening its position in the Central European real estate market.
Enhanced Rental Income
The newly acquired properties enhance CPI Europe’s rental income capacity, contributing substantially to its ongoing financial performance and long-term asset appreciation potential.
Market Outlook
Investment professionals expect CPI Europe to benefit from robust housing demand, urban regeneration trends, and favorable rental market dynamics in Czech urban centers and regions included in the portfolio.
Corporate Commentary and Next Steps
CPI Europe highlights its focus on capitalizing on regional growth opportunities and asset class diversification. The company intends to maintain active portfolio management and explore value-add initiatives to optimize returns.
