The firm where I work appraises large, Class A apartment buildings that are typically 250 units or larger. Looking over past reports an "Operating Expense Raito" of approximately 35% to 40% appears to be the norm. Operating Expense Ratio = Total Operating Expenses divided by Effective Gross Income. So taxes are included in the Operating Expenses. Does anyone have experience with large Class A buildings that is different, similar...?? I assume for smaller, older buildings the range would be quite higher...perhaps 45% to 55%???? Thanks.