The neighbor told a sheriff's deputy that Bieber threatened him and spat in his direction after he confronted the 19-year-old about his driving.
The prosecutor says Bieber's response seemed "immature" but not necessarily criminal.
Regarding a separate incident, the prosecutor also said there is not enough evidence to charge Bieber over a neighbor's complaint that the singer drove his Ferrari recklessly through the same area in May.
According to the prosecutor, the car clearly belonged to Bieber, and that he was identified by a witness as the driver of the car. However, another witness said the tinted windows concealed the driver's identity.
Attorneys say footage from security cameras around the perimeter of Bieber's property showed the singer riding a motorcycle and following his Ferrari out of the driveway. About five minutes later, both vehicles were seen returning to the driveway - with Bieber clearly in the motorcycle.
Then, the footage shows the driver leaving the Ferrari, and Bieber getting into the sports car, apparently to park it.
According to attorneys, the investigating officer found several videos of one of Bieber's friends claiming to have been behind the wheel at the time.
The Associated Press and City News Service contributed to this report.