Deng averaged 14.0 points with the Heat last season, starting all 72 games in which he appeared. He shot 47 percent from the field, his best showing there in seven years, and made 36 percent of his tries from 3-point range.
Deng's agent, Herb Rudoy, said the small forward told the Heat of his decision at 2 p.m. EDT Monday. Deng had until 11:59 p.m. to exercise his player option for next season.
The decision means Miami is basically set at small forward. Deng will be the presumed starter, with fellow former Duke star Justise Winslow - this year's first-round Heat draft pick - and James Ennis backing him up.