Marking the end of a reset dispute, Ventas Inc. has chosen to raise the rent of nursing home chain Kindred Healthcare Inc. under four master leases by $33.1 million per year.

In making its decision, the real estate investment trust is following the determination of appraisers who determined the fair market value late last week. Ventas, which had 30 days to make its decision, could have opted to retain the current annual base rent of $206 million. Ventas also agreed to reset the market annual rent escalator at an overall weighted average of 2.65% compared to the current escalator of 3.5%.

The new base rental is retroactive to July 19, 2006. Ventas earlier had argued that the aggregate base rents of Kindred’s 225 properties should increase by $111 million to $317 million per year.