Insignia Financial Group and CB Richard Ellis have sold $44 million worth of Insignia-owned real estate assets to a fund controlled by Insignia Financial chairman Andrew Farkas. Farkas founded Insignia Financial Group, which is the parent company of Insignia/ESG.

Farkas’ new entity, Island Fund, will also shoulder approximately $7.8 million worth of employment-related contractual obligations.

Based on this deal, CB Richard Ellis has increased its per-share price for IFG from $11 to $11.156 per share. The value of the merger, which was announced last March, will rise by $4 million to $419 million, which includes the assumption of debt. Insignia will keep nearly $12 million worth of liabilities relating to the investment assets, among them minority stakes in strip malls and offices, development sites and a funs that invests in CMBS.

CB Richard Ellis also announced yesterday that it will borrow $75 million to fund the merger. The merger was originally slated to be consummated in June, but has since been pushed back to July.