Rick Caruso, the billionaire real estate developer, has announced he will not enter California’s governor or Los Angeles mayoral races, Bloomberg reported. The 67-year-old said on X Friday, “I am deeply disappointed to step back from an election I believe is so critical to California’s future,” citing extensive reflection and discussions with his family as the basis for his decision.

Caruso’s departure leaves the gubernatorial contest wide open. California’s governor’s race is crowded, with no clear frontrunner, and incumbent Gavin Newsom is barred by term limits from seeking re-election. Newsom is also widely viewed as a potential 2028 presidential candidate.

In Los Angeles, Caruso had been considered a top potential challenger for mayor. His former Republican affiliation was frequently noted during his 2022 bid, when he lost by roughly 10 percentage points to incumbent Karen Bass despite spending more than 100 million US dollars of his estimated 5.8 billion US dollar fortune, Bloomberg noted. Bass, a former Democratic congresswoman, is seeking re-election, though nearly half of voters last year gave her an unfavorable rating in a UCLA Luskin School of Public Affairs survey.

Caruso had elevated his public profile following last year’s devastating wildfires, donating millions and creating the nonprofit Steadfast LA to support recovery efforts while publicly critiquing Bass’s management. He also conducted polls, traveled the state, and posted regularly on social media, fueling speculation about a possible candidacy. When asked on Jan. 7 if he might not run, Caruso had said, “That option is pretty much off the table now.”

Other contenders in the Los Angeles mayoral race include Austin Beutner, former LA Unified School District superintendent and deputy mayor; reality TV personality Spencer Pratt, whose Pacific Palisades home was damaged in the wildfires; and progressive housing activist Rae Huang. If no candidate wins more than 50 percent of the vote in the June 2 election, the top two vote-getters will face off in the general election on November 3.

Los Angeles has seen declines in crime consistent with national trends, but challenges persist with homelessness and housing affordability. Caruso frequently highlighted these issues during his political activity, particularly following the wildfires