Company: GMRE
Filing Date: 2025-11-13
Form Type: 424B5
Source: 0001104659-25-110926
Chunk: 126

Company: Global Medical REIT Inc.
Filing Date: 2025-11-13
Form: 424B5
Chunk 126
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from any corporation (including any TRS, but excluding any REIT) in which we own an equity interest will qualify for purposes of the 95%
gross income test but not for purposes of the 75% gross income test. Our share of any dividends received from any other REIT in which
we own an equity interest, if any, will be qualifying income for purposes of both gross income tests.

Prohibited Transactions. A REIT will incur
a 100% tax on the net income (including foreign currency gain) derived from any sale or other disposition of property, other than Foreclosure
Property, that the REIT holds primarily for sale to customers in the ordinary course of a trade or business. We believe that none of our
healthcare facilities have been or will be held primarily for sale to customers and that any sales of our healthcare facilities have not
been and will not be in the ordinary course of our business. Whether a REIT holds a property “primarily for sale to customers in
the ordinary course of a trade or business” depends, however, on the facts and circumstances in effect from time to time, including
those related to a particular property. A safe harbor to the characterization of the sale of real property by a REIT as a prohibited transaction
and the 100% prohibited transaction tax is available if the following requirements are met:

| · | the REIT has held the property for not less than two years; |

| · | either (1) during the year in question, the REIT did not make more than seven sales of property other than Foreclosure Property or             
 sales to which Section 1033 of the Code applies, (2) the aggregate adjusted bases of all such properties sold by the REIT during the year      
 did not exceed 10% of the aggregate bases of all of the assets of the REIT at the beginning of the year, (3) the aggregate fair market         
 value of all such properties sold by the REIT during the year did not exceed 10% of the aggregate fair market value of all of the assets       
 of the REIT at the beginning of the year, (4) (i) the aggregate adjusted bases of all such property sold by the REIT during the year did       
 not exceed 20% of the aggregate adjusted bases of all property of the REIT at the beginning of the year and (ii) the average annual percentage 
 of properties sold by the REIT compared to all the REIT’s properties (measured by adjusted bases