LONDON - U.S. real estate continued its dismal run in 2009 with all-property capital values and total returns doubling their rate of decline, and yields softening further, quarterly data showed on Wednesday.

The Investment Property Databank's (IPD) U.S. Quarterly Property Indicator said yields fell 140 basis points in 2009, ending the year at 7.1 percent, their highest level since 2003.

By end-December 2009, all-property capital values were down 23.9 percent, and down 33.4 percent from their December 2007 peak.

Offices led the decline, their values falling 26.1 percent in 2009, having fallen 13.6 percent in 2008, the quarterly data showed.

The total annual return for 2009 was -18.7 percent, against -7.7 percent in 2008.

New York, Washington and Chicago all suffered slightly less severe market value writedowns than the broader U.S. market, while Los Angeles and San Francisco both fell further than national average, IPD said in a statement.

A distinct geographic trend in the pace of capital depreciation was also visible at sector level, with East Coast outperforming the West Coast in all four main sectors, it said.

(Reporting by Andrew Macdonald, editing by Will Waterman and Erica Billingham)