Andrew Farkas’ Hamptons

Former Insignia Financial chief executive Andrew Farkas has redeemed his real-estate cred. Last year, after reports circulated in the New York Post that Mr. Farkas lost to Insignia/ESG chief Stephen Siegel in his bid to nab the 7,300-square-foot limestone townhouse at 631 Park Avenue-which Mr. Siegel scored for $12.7 million-Mr. Farkas went in search of another home.

It appears he’s found one.

In January, township records show that Mr. Farkas-now the chief executive of Island Capital Group, a real-estate investment firm-purchased a Hamptons home in North Sea for $5.4 million.

Mr. Farkas was traveling to Dubai and unavailable for comment. A general contractor at Mr. Farkas’ office, who is working on the renovation, said the home is being worked on, but declined to give specifics on the spread, saying only, “It’s a terrific property.”

According to the Southampton Assessor’s Office, Mr. Farkas’ Hamptons perch sits on 2.74 acres abutting Little Peconic Bay. Records also indicate that his spread is a 3,505-square-foot home with five bedrooms, four full bathrooms, two half-bathrooms and two fireplaces, and was described as “old-style.”

In July 2003, Los Angeles–based CB Richard Ellis Inc. bought Mr. Farkas’ former firm, the Insignia Financial Group, for more than $400 million. According to the company, the merger created the world’s largest manager of commercial property, with 16,000 employees spread across 47 countries and $90 billion worth of annual sales and leasing transactions.

Mr. Farkas, the son of the former chairman of Alexander’s department stores, pocketed more than $15 million in the merger, according to the New York Post . Recently, the 43-year-old real-estate mogul has pursued other big-ticket purchases along with his Hamptons house grab. Last year, his new firm, Island Capital, agreed to buy Insignia’s real-estate investment assets in a $44 million deal.

On May 1, the European Union expanded by adding 10 new member states to the political patchwork of countries stretching across the old continent. But late last year, the Luxembourg Mission to the United Nations made an expansion of its own by purchasing a 1,312-square-foot apartment owned by the international financier Jaqui Safra, at 40 East 94th Street.

According to city records, the Grand Duchy of Luxembourg purchased the apartment owned by Mr. Safra for $1.45 million. Currently, Luxembourg’s ambassador to the U.N., Jean-Marc Hoscheit, resides in two conjoined apartments next to Mr. Safra’s 28th-floor spread on 94th Street, between Fifth and Madison avenues. The mission purchased the two apartments, which total 3,122 square feet, for $745,500 back in 1984.

Now, by adding Mr. Safra’s Carnegie Hill perch, Luxembourg’s diplomatic residence totals 4,400 square feet. The addition includes four and a half rooms, sweeping park and city views, and a built-in washer and dryer. The mission now plans a renovation to combine all three apartments into one luxurious residence.

“The residence has been for years in this location. It’s been felt for some time that this residence was too small. We were lucky enough to have the opportunity to buy the adjacent apartment and expand,” a member of the Luxembourg Permanent Mission to the U.N. told The Observer . “When it all comes together, we hope to begin renovation as soon as possible.”

Mr. Hoscheit will be renting an apartment near the U.N. headquarters during the renovation.

Real-estate sources familiar with the property say that Mr. Safra didn’t occupy the apartment, though he had once used the address as an office.

Mr. Safra was traveling and unavailable for comment. Nancy Dubin, a senior vice president with Halstead Property, who handled the sale, declined to comment.