The flow variable reference should not be within a String. That is just a String (and I am not surprised you do not have such an exotic location ;-) ).
I would create the "*" + yourFlowVariable + "*" as a new flow variable (for example locationLikePattern) and use a similar rule:
$Location$ LIKE $${SlocationLikePattern}$$ => TRUE
It is not clear for me which node produces the NullPointerException. As you put this question to a Rule-based Row Filter topic, I assume that was causing the problem, though I could not reproduce it. Could you share your workflow demonstrating the problem of the Rule-based Row Filter? (Also version information is appreciated.)