It seems to me the proper height is the height of your chair backs, since
the purpose of the chair rail is to protect the wall from damage by the
chair. Another consideration would be the style of the architecture. Here in
America an 18th century Georgian style room might have a rail at 26 or 30",
but a 20th century craftsman style might have a railing at 60 or 70".
I have chair rail in my kitchen, its a custom built house, the rail is 36
inches to the top from the floor. When installed the builder had no idea
what type chairs I had, the chairs are not close enough to the wall, but if
they were it would match up to the chair back.
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