It just prints it out as “{group_title}” if I put it outside those tags.
We’re using version 1.6.0 Build: 20070622
Now I put some other tags below it and they process fine but {group_title} doesn’t work there either (it just prints it out as raw text which is so bizarre).
{exp:weblog:entries limit="1"}
g = {group_title}
{date_heading}
<h2 class="date-header">{entry_date format=' %l, %F %d, %Y'}</h2>
{/date_heading}
<div class="post">
<h3 class="post-header">{title}</h3>
<div class="post-summary">
{summary}
{body}
{extended}
</div>
<div class="post-details">
Posted by <a href="http://{profile_path=member/index}">{author}</a> in
{categories}
• <a href="http://{path=SITE_INDEX}">{category_name}</a>
{/categories}
<a href="http://{title_permalink=projex/index}">Permalink</a>
</div>
</div>
{/exp:weblog:entries}