I think you need more clarity in this relationship. Explain to your friend in a nice tone of voice that big, tight hugs, and face stroking should be reserved for more intimate relationships, not platonic ones. Tell him that in a platonic relationship a quick, gentle hug hello/goodbye is okay, and one armed hugs--across the shoulder, are fine, but he is really sending mixed signals with the big, tight hugs and face stroking.
It's nice that he wants to be friends, but he is confusing you with his behavior, so you need to clear this up. If he still insists on both a platonic relationship, and the overly friendly behavior, you should minimize contact, as it is keeping you off balance and confusing your emotions.
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If a man does not keep pace with his companions, perhaps it is because he hears a different drummer.
Let him step to the music which he hears, however measured, or far away.--Henry David Thoreau