By Svea Herbst-Bayliss

BOSTON (Reuters) – Activist investment firm Land & Buildings Investment Management is seeking a seat on the board of American Campus People familiar with the subject say that Community (NYSE:) believes it needs to sell off assets aggressively and buy back stock.

Land & Buildings, which generally pushes for changes at real-estate companies, previously held discussions with the Austin, Texas headquartered owner and operator of student housing about strategy and capital allocation. It reached an agreement in January where ACC restructured its board.

But Jonathan Litt, Land & Building’s founder and chief investment officer, feels the changes that were made earlier this year did not go far enough to correct persistent problems, the people said. ACC has added three directors to the board, a chair was reappointed and a capital allocation committee formed.

Litt believed it would be more effective to push for change by adding an investor or stakeholder to the company’s board. Litt’s intention to become a director candidate was unknown.

An ACC representative was unavailable for comment immediately.

Although the stock price of the company has increased 27% over the year, its performance has fallen by 13% compared to peers since January’s signing of the cooperation agreement.

Land & Buildings owned a 1.03% stake in ACC at the end of the third quarter, according to regulatory filings. According to regulatory filings, the company has a value of $7.6 billion.

Litt felt that the board must show investors that they are moving aggressively towards bringing ACC’s stock price (which closed Friday at $54.43) closer to ‘fair values’, close to $70 per share.

A more aggressive approach to sales would be the first step. This could prove very profitable at a moment when students are returning full-time and properties for sale are increasing in price. It would be a good idea to also consider share buybacks which are something the company is not used to doing.

The company must also reduce costs. Since 2013, general and administrative expenditures have more than doubled. Sources also suggested that the board review any strategic options to increase the share price.

Litt does not advocate for a company sale immediately but believes that boards must always be open to all possibilities to maximize value.

The hedge fund had nominated Litt and Lexington Realty (NYSE.) Trust earlier in the month.

According to industry analysts, the rate at which investors are returning to companies where there has been a settlement recently or another activist on the board is increasing.