To add evidence that ColtsFan76 is correct here, consider the investigator, Ursula Downs special ability, Quick-witted.
http://www.arkhamhorrorwiki.com/Ursula_Downs
This would indicate that you can either use the location's special ability (which are worded exactly the same way as Painter) or have an encounter there at that location, drawing a card. The wording here is very deliberate in my opinion.
Hope this helps!
http://www.arkhamhorrorwiki.com/Ursula_Downs
Ursula Downs Investigator Card wrote:
Arkham Encounter: Ursula may have an encounter at a location even after using a location ability that would normally be taken instead.
This would indicate that you can either use the location's special ability (which are worded exactly the same way as Painter) or have an encounter there at that location, drawing a card. The wording here is very deliberate in my opinion.
Hope this helps!