Haha, I think it's fun. As long as the guy doesn't do anything scary (I don't think a false offer to pain window sills counts) and if people seem genuinely scared or upset, backs off, and explains they don't mean any harm... fine by me. All towns have their eccentrics, I wish ours would dress up!
I agree with this. I've passed people in the street in a Burka/Niqab many times and it's never made me feel threatened or bothered at all. But I do think that if I was in a situation that would make me feel nervous/threatened anyway, and the person involved had their face covered in any way, I think I'd feel more threatened than if they didn't. Reading facial signals is just as important a part of communication as what you say.