With the current implementation of RadScheduleView the AllDayArea is just high enough to contain either a single appointment or all appointments that are IsAllDayEvent=True. The AllDayArea is not configurable in terms of size and cannot be expanded.
The appointments in the AllDayArea use the horizontal appointment template. If you want to make them bigger in terms of height, the only way which will be respected by the AllDayArea is to set MinAppointmentHeight of the RadScheduleView control.
Keep in mind, however, that all appointments in a view with a horizontal orientation will reflect the MinAppointmentHeight value - MonthView and TimelineView.
I hope this helps.
the Telerik team
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