Global Medical REIT Inc. (GMRE): Marketing Mix Analysis [Dec-2025 Updated]

You're looking at Global Medical REIT Inc. right now, and honestly, their 4P strategy tells a clear story of repositioning: they are doubling down on their core Product-net-lease medical real estate, with $\mathbf{72\%}$ outpatient assets and $\mathbf{95.2\%}$ occupancy-while their Place strategy focuses on disciplined US acquisitions near hospitals. On the Promotion front, management is selling balance-sheet discipline and highlighting deals at a $\mathbf{9.0\%}$ cap rate, which directly impacts the Price story where they've recently right-sized the common dividend to $\mathbf{\$0.75}$ post-split to manage leverage, which still sits at $\mathbf{6.9x}$ Net Debt/EBITDAre as of Q3 2025. Let's dive into the specifics of how these four levers are set to drive performance through the end of the year.

Global Medical REIT Inc. (GMRE) - Marketing Mix: Product

The product offered by Global Medical REIT Inc. (GMRE) is specialized healthcare real estate assets leased under long-term, net-lease agreements, predominantly triple-net leases.

The composition of the portfolio, based on the percentage of cash net operating income as of September 30, 2025, shows a clear focus on outpatient facilities.

The scale of the asset base as of September 30, 2025, supports the revenue generation framework for Global Medical REIT Inc. (GMRE).

• Total Portfolio Size: Approximately 5.2 million leasable square feet.
• Annualized Base Rent (ABR): Approximately $118.4 million.
• Total Buildings Owned: 191.
• Total Tenants: 315.

The portfolio demonstrated a high level of utilization as of the third quarter close.

• Portfolio Leased Occupancy: 95.2% as of September 30, 2025.

The structure of the lease agreements is designed for predictable revenue streams, featuring long-term commitments and built-in annual increases.

Global Medical REIT Inc. (GMRE) - Marketing Mix: Place

Global Medical REIT Inc.'s 'Place' strategy centers on the physical location and accessibility of its licensed healthcare facilities across the United States, focusing on strategic acquisition and disciplined portfolio optimization through capital recycling.

Focus on acquiring licensed healthcare facilities across the US.

Global Medical REIT Inc.'s distribution network is its owned real estate portfolio, which as of September 30, 2025, spanned 35 states. The portfolio consisted of 191 buildings with 5.2 million leasable square feet. The total gross investment in real estate for the portfolio was approximately $1.5 billion. The primary asset type in this distribution network is medical office buildings, representing 72% of the annualized base rent (ABR). The overall portfolio leased occupancy rate stood at 95.2% as of September 30, 2025.

The geographic distribution shows key concentrations, which reflects where Global Medical REIT Inc. has chosen to place its assets:

• Geographic concentration in Texas: 17% of ABR.
• Geographic concentration in Florida: 11% of ABR.
• Geographic concentration in Ohio: 8% of ABR.

Strategic acquisitions target assets near hospital campuses.

The acquisition strategy explicitly targets properties that promote tenant retention through proximity to hospital campuses. For example, the five-property portfolio acquired in 2025, which had an aggregate purchase price of $69.6 million, was noted for the close proximity of the buildings to hospital campuses. The portfolio is heavily weighted toward creditworthy tenants, with 90% of tenants being health system or other affiliated healthcare groups.

Recent portfolio additions were bought substantially below replacement cost.

Global Medical REIT Inc. emphasizes acquiring assets at favorable pricing relative to current construction costs. The five-property portfolio acquired year-to-date in 2025 for $69.6 million was specifically highlighted as an investment that adds high quality assets to the portfolio at a large discount to replacement cost. This portfolio comprised 486,598 leasable square feet and generated aggregate annualized base rent of $6.3 million. The acquisitions were completed at a weighted average cap rate of 9.0%.

The following table summarizes key portfolio and 2025 transaction metrics relevant to the 'Place' strategy as of late 2025:

Capital recycling includes dispositions, like exiting the Panama City, FL market.

Global Medical REIT Inc. actively manages its footprint through dispositions to recycle capital. During the third quarter of 2025, the Company completed two dispositions, bringing in aggregate gross proceeds of $3.8 million. For the first nine months of 2025, the Company executed five dispositions, generating aggregate gross proceeds of $13.4 million. The strategic exit from the Panama City, FL market was finalized during the second quarter of 2025 when the Company completed the disposition of a medical facility in Chipley, Florida, for gross proceeds of $1.4 million, which resulted in a gain of $0.2 million. Furthermore, a Q3 2025 disposition involved a facility in Aurora, IL, which had been unoccupied and for which a $6.3 million impairment charge was recognized prior to its sale.

Global Medical REIT Inc. (GMRE) - Marketing Mix: Promotion

You're looking at how Global Medical REIT Inc. (GMRE) communicates its value proposition to the market, which is critical for a publicly traded REIT whose stock performance is tied to investor sentiment and perceived growth runway. The promotion strategy, as evidenced by late 2025 disclosures, centers on financial stewardship, strategic transaction execution, and highlighting embedded value within the existing portfolio.

Investor relations emphasizes balance-sheet discipline under the new CEO.

Following the CEO transition in June 2025, investor communications have pivoted toward demonstrating fiscal prudence. This discipline is quantified by key balance sheet metrics as of September 30, 2025. Consolidated debt outstanding stood at $710 million, resulting in a leverage ratio of 47.3%. Furthermore, the company has worked to optimize its cost of capital, reporting a weighted average interest rate on total debt of 4.06%, with a weighted average remaining term of 1.3 years. Management is signaling this discipline by narrowing its full-year 2025 Adjusted Funds from Operations (AFFO) per share and unit guidance range to $4.50 to $4.60.

The focus on financial health is also reflected in capital allocation decisions:

• No shares had been repurchased under the new program as of November 3, 2025.
• The portfolio occupancy rate was reported at 95.2% as of September 30, 2025.
• Weighted average annual rent escalations across the portfolio were 2.1% as of September 30, 2025.

Public communications highlight accretive acquisitions at a 9.0% cap rate.

Global Medical REIT Inc. (GMRE) promotes its growth strategy by emphasizing the quality and yield of its acquisitions. The company frequently cites the acquisition of a five-property portfolio completed in early 2025, which involved an aggregate purchase price of $69.6 million at a capitalization rate (cap rate) of 9.0%. While the weighted average cap rate for all acquisitions completed through Q2 2025 was slightly lower at 8.7% on approximately $69.6 million of investment, the 9.0% figure from the major portfolio acquisition remains a key promotional data point.

Here is a summary of the acquisition activity cited in public materials through the first half of 2025:

Management touts in-place rents are potentially 30%+ below market, signaling future growth.

While the specific figure of in-place rents being 30%+ below market was not explicitly found in the latest disclosures, management communicates the potential for future rent growth by highlighting portfolio characteristics that imply significant upside upon lease rollover. The focus is on the embedded value waiting to be unlocked through disciplined leasing strategies under the new leadership. The company is poised to benefit from market conditions, as noted by the CEO, who stated they are poised to benefit from increasing demand for outpatient services and rising construction costs that limit new supply.

The current rent structure and lease profile suggest a long-term growth story:

• Annualized Base Rent (ABR) as of September 30, 2025, was $118.4 million.
• Weighted average annual rent escalations were 2.1% as of September 30, 2025.
• The weighted average lease term was 5.3 years as of September 30, 2025.

Established a $50 million common stock repurchase program in August 2025.

To signal confidence in its valuation and return capital to shareholders, Global Medical REIT Inc. (GMRE) announced a significant financial action in August 2025. On August 12, 2025, the Board approved a common stock repurchase program with an authorization of up to $50 million of outstanding shares. This program allows purchases through open market transactions, block purchases, or privately negotiated deals. It is important to note that as of November 3, 2025, the company had not yet repurchased any shares under this $50 million authorization. This announcement was coupled with a one-for-five reverse stock split, effective September 19, 2025.

Key details of the repurchase authorization include:

• Authorization Amount: $50 million.
• Approval Date: August 12, 2025.
• Shares Repurchased (as of Nov 3, 2025): $0.
• Par Value of Common Stock: $0.001 per share.

Global Medical REIT Inc. (GMRE) - Marketing Mix: Price

Price, in the context of Global Medical REIT Inc. (GMRE), centers on the cost of capital, the yield on acquisitions, and the distribution policy to common stockholders, reflecting the perceived value of its healthcare real estate assets and its cost structure.

The company's approach to shareholder returns and debt management directly informs the 'Price' element of its strategy, as these factors influence investor perception and the cost of future financing.

Here are the key financial figures related to Global Medical REIT Inc.'s pricing and distribution strategy as of late 2025:

• Full-year 2025 AFFO per share/unit guidance is reaffirmed at $0.89 to $0.93.
• Quarterly common dividend was right-sized to $0.75 per share (post 1-for-5 split) in Q3 2025.
• Dividend cut brought the FAD payout ratio to a healthier level, below 80%. The year-to-date FAD payout ratio as of Q3 2025 was reported at approximately 84%.
• Leverage is high, with Net Debt/Annualized Adjusted EBITDAre at 6.9x as of Q3 2025.

The pricing structure for the underlying assets is supported by the portfolio's cash flow metrics:

The capital structure details show the cost and maturity profile impacting future pricing decisions:

• Total Gross Debt as of September 30, 2025, was approximately $712.9 million.
• The weighted average interest rate on total debt was 4.06%.
• Debt maturity profile includes a recast revolver maturity extending to October 2029 (with options to 2030) and Term Loan A tranches maturing between 2029-2031.
• Forward-starting swaps are set to fix the Term Loan A's SOFR component at effective rates near 4.75-4.84% beginning in May 2026.

The dividend policy adjustment reflects a strategic move to improve internal capital retention, which is a key component of pricing the stock's yield:

The quarterly common dividend declared in Q3 2025 was $0.75 per share post-split, which equates to an annualized distribution of $3.00 per share, representing a dividend yield of 9.9% based on recent trading prices. This right-sizing was intended to bring the FAD payout ratio to a level below 80%, though the year-to-date coverage was reported at approximately 84%. This shift prioritizes internal funding for growth over maximizing immediate payout, a pricing signal to the market regarding capital allocation.