Gwyneth Paltrow -- I'm Destroying Hustler For a New Club You Can't Afford

Gwyneth Paltrow is getting into the kinky sex biz, but not for long ... we've learned she's very quietly snatched up the Hustler Hollywood store which she'll bulldoze and then build a fancy schmancy private club.

It's a stunning development on the Sunset Strip, because Hustler has been a landmark for years.

Our real estate sources say Gwynnie and business partner Gary Landesberg scored the property from porn lord Larry Flynt.

Their plan is to build the Arts Clubs similar to the one in London. The Club is Soho-esque, with a fancy restaurant (Zuma, one of the best in London), a nightclub/lounge, and artsy stuff like poetry readings and various events. The club prohibits swearing. You can't bet inside, but you can play backgammon, but only if there are no stakes. Of course, there's a strict dress code.

The club is pricey ... $2K to join the London franchise and $2k a year. The Sunset Strip club promises to be way more expensive.

Landesberg is the chairman and principal shareholder of the clubs. Gwyneth is an investor and a board member.

As for the Hustler, they're slipping into a new spot close to the Dolby Theater.

Now stars will be able to grab an Oscar and edible panties all in one trip.