The stress recovery and cyclic deformation behaviour of Fe–17Mn–5Si–10Cr–4Ni–1(V,C) shape memory alloy (Fe-SMA) strips, which are often used for pre-stressed strengthening of structural members, were studied. The evolution of recovery stress under different constraint conditions was studied. The results showed that the magnitude of the tensile stress in the Fe-SMA member during thermal activation can have a signification effect on the final recovery stress. The higher the tensile load in the Fe-SMA (e.g., caused by dead load or thermal expansion of parent structure during heating phase), the lower the final recovery stress. Furthermore, this study investigated the cyclic behaviour of the activated SMA followed by a second thermal activation. Although the magnitude of the recovery stress decreased during the cyclic loading, the second thermal activation could retrieve a significant part of the relaxed recovery stress. This observation suggests that the relaxation of recovery stress during cyclic loading is due to a reversible phase transformation-induced deformation (i.e., forward austenite-to-martensite transformation) rather than an irreversible dislocation-induced plasticity. Retrieval of the relaxed recovery stress by the reactivation process has important practical implications as the prestressing loss in pre-stressed civil structures can be simply recovered by reheating of the Fe-SMA elements.