How to break it off with a nice guy?

i'm a sophomore in high school and he just graduated and we've been talking for 2 months. he's going to college about 4 hours away and i cannot do long distance and he's only friends with girls which really bothers me and he keeps giving me all these mixed signals. not to mention people think he's gay, and i have to admit he is sort of a girl sometimes. for example, he was watching new york minute alone last night and cried during the notebook. we have somethings in common and i do like him but i know he's not the one for me and he's definitely too much work. i don't know how to tell him i don't want to talk to him anymore and ask if we could just be friends because i think he really likes me. he signed my yearbook saying "All My Love, Jonathan." what do i do?