Company: GMRE
Filing Date: 2025-11-13
Form Type: 424B5
Source: 0001104659-25-110926
Chunk: 127

Company: Global Medical REIT Inc.
Filing Date: 2025-11-13
Form: 424B5
Chunk 127
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) in the current and two prior years           
 did not exceed 10% or (5) (i) the aggregate fair market value of all such property sold by the REIT during the year did not exceed 20%         
 of the aggregate fair market value 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 fair market value) in the current and two prior years           
 did not exceed 10%;                                                                                                                            |

| 47 |

| · | in the case of property not acquired through foreclosure or lease termination, the REIT has held the property for at least two years 
 for the production of rental income; and                                                                                             |

| · | if the REIT has made more than seven sales of non-Foreclosure Property during the taxable year, substantially all of the marketing         
 and development expenditures with respect to the property were made through an independent contractor from whom the REIT derives no income 
 or a TRS.                                                                                                                                  |

We will attempt to comply with the terms of the
safe-harbor provisions in the U.S. federal income tax laws prescribing when a property sale will not be characterized as a prohibited
transaction. We cannot assure you, however, that we can comply with the safe harbor provisions or that we will avoid owning property that
may be characterized as property that we hold “primarily for sale to customers in the ordinary course of a trade or business.”
The 100% tax will not apply to gains from the sale of property that is held through a TRS or other taxable corporation, although such
income will be taxed to the TRS at regular U.S. federal corporate income tax rates.

Fee Income. Fee income generally will not
be qualifying income for purposes of either the 75% or 95% gross income tests. Any fees earned by any TRS we form, such as fees for providing
asset management and construction management services to third parties, will not be included for purposes of the gross income tests. In
addition, we will be subject to a 100% excise tax on any fees earned by a TRS for services provided to us if such fees were pursuant to
an agreement determined by the IRS to be not on an arm’s-length basis.

Foreclosure Property. We will be subject
to tax at the maximum U.S. federal corporate income tax rate (currently 21%) on any income from Foreclosure Property,