I switched out the factory CZ sights with standard MBUS pop ups, and they look like they will co witness very nicely with the HS510c, although I just got the gun a few days ago and need a clear day to get to the range to be sure. Moved the CZ sights to a CAA stock I just got, and the red dot on that has a see through base, so they work perfectly with that setup.
Where you zero is completely personal preference. I would base it on the normal distance you expect to use the gun. I always zero at a minimum of 25 yards, just because that is what I'm used to doing with all of my carbines. If you're using it as a 'house' gun, I may consider a 5 to 15 yard zero, depending on the size of your rooms.