How should I handle this?

There is this boy at my work I got friends with.
We went to a abandoned building with two of my friends and we just hanged out together another time with the same people. (I asked him)
I hanged out with him for four evenings in a row with him, he asked if I wanted to hang out and I was okay with it.
There was a friend with him all the time.
He just moved to my village a half year ago and I'm the only person he knows here. He complained that he is so bored here, so that's why I agreed to hang out sometime.
Those friends who joined were from his old village.

One of his friends really showed me that this boy liked me, he said I was his 'dushi' (means schatje in Dutch, and that's cutie in English) and I just noticed that he got so nervous when he's around me.

I don't have feelings for him at all.

I thought I maybe shouldn't hang out with him anymore, but that might be a little extreme.
And I don't really think it's fun to hang out with only the two of us. He's so awkward around me and tries to show of all the time.
My friends say I shouldn't complain about boys liking me, but it's so hard to reject someone who's nice. I have no idea how I can handle this well.
I think I should let him know I don't like him in that way and he can decide for himself if he still wants to hang out or not. But I have no idea how I should do that.

I hope someone has some advise...
How should I handle this?
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