It’s a love hate attraction.
This is something I have a hard time relating to/understanding. My hatred is typically pretty straightforward. 
Physical beauty is a value, like anything else and I do value that more than anything else in life, because I have an artist archetype.
All right, let’s start here: it’s nice to look at pretty things and people. However, you can’t really mean it when you say that you value physical beauty “more than anything else in life,” can you? That must be hyperbole. In people, specifically, you value physical beauty over intelligence? Courage? Compassion? Integrity? Honesty?
How would you assess a gent like Ted Bundy? By most accounts, he was a handsome guy, and yet…
Physical beauty in a man is a material value to me, like something you work hard to get a big salary so you can pay for kind of thing.
Physical beauty in a woman is a wonderful thing. I mean, for real. Anyone who knows me knows that I’m a sucker for a good-looking woman. (And though I’m pretty damn straight, I’ll observe that I enjoy physical beauty in a man, too.)
That said, physical beauty is not the only thing that’s important to me when it comes to my relationships, nor is it the central thing. Relationships are about much (much) more than gazing lovingly at one’s partner. And so it’s important for me to assess everything that I know about those around me, to properly judge the value they potentially represent to me and to my life. I think that over the course of my life, my experience of “attraction” has come to follow this more holistic evaluation.
For instance: My wife is beautiful, but that’s not why I’m head-over-heels for her. And there are certainly more beautiful women in the world. But nobody is more attractive to me than my wife.
It’s a sexual comfort, which is just like any other physical comfort, the comfort of your home or car, the taste of the food you eat etc. How good food tastes is definitely more important to some people than it is to others, and so that’s why physical beauty in the opposite sex is more important to me than you. I think artist types are more attracted to physical beauty because they are primarily concerned with creating esthetic things, and handsomeness/proportion speaks to their whole purpose. I’m no artist, I’m just saying that I have the inborn psychological tendencies of one. Despite whether they were brilliant or worthless, all people who create works of art have certain archetypal features in common.
I don’t think you have to defend liking handsome men. But where this specific handsome man is concerned, it’s still a question of whether he’s good for you or not. And I can’t answer that for you, but I ask it because the way you describe this guy makes it sound like you don’t value him very highly overall, as a human being. And the way you describe your various frustrations makes it sound like the relationship doesn’t make you particularly happy.* And I’m of the opinion that we have these relationships for our fulfillment, in pleasure, in happiness, and in our lives generally. If they don’t serve that purpose, but make us miserable instead… well… that’s good reason to reassess and make a change.
* Though I could be wrong about any or all of that. Writing these posts surely gives a skewed view of what I’m sure is a complex relationship (as they all are). I’m only basing my responses on what I can read in your posts and infer from there, but if he’s actually a great guy, and if you’re loving your relationship, then I guess my responses wouldn’t be very useful. 
The sexual attractiveness and sentimentality of him combined with his obvious psychological flaws arouse all the anger I have about the incompetent world and my dramatic self can’t help but try to pursue him. I love to feel anger and sexual tension at the same time.
See, here again you lose me… I believe I’ve observed before (though I don’t know that you share) a certain mentality which views “romance” as suffering in its essence – that values the emotional ups and downs of a chaotic affair, and would find a relationship without those downs somehow lacking. But that’s not why I’m in the game, and that isn’t what love means to me. Or sex, for that matter. I’ve heard of angry sex, and even of hate sex, but I don’t think I’ve ever had any of that… nor do I really get the appeal.
For me, love and sex are about pleasure and happiness. If I feel hatred for a woman – or even anger, howsoever temporarily – the last thing I’d want with her is intimacy. Even if I decided intellectually that I wanted to have sex, I don’t know how I’d get my body to respond the right way.
Perhaps you’d suggest that I could somehow compartmentalize my feelings? Ignore what I otherwise know about a hypothetically awful-yet-beautiful woman in order to enjoy her physical appeal or something? But 1) I don’t know that I could accomplish it, and 2) I don’t know that would be good for me. In fact, it sounds dangerous. If my anger/hatred is rooted in reason and reality, and if I’m right to feel that way about her generally, then she’s probably bad news for my life. If I can switch off my disgust at her character so that I can simply dig on the shape of her legs for a while, then that sounds liable to backfire. It’s best to keep folks of disgusting character at arm’s length, or farther. (See above, re: Ted Bundy.) 
It’s kind of like the malevolent universe thing on the peikoff podcasts where he gave the example of the painful medicine, people crying at beautiful weddings etc. except anger and drama in a sexual relationship combined with physical beauty of the man are what’s positive to me instead of pain or crying paired with beauty.
I don’t know the podcasts in question, so I can’t really comment on that, except to reiterate that I don’t understand the sexual appeal of anger or drama. But if what you’re really saying is that you groove on pain, then I don’t guess that lying or anything else should be a problem for your relationship. I mean, if you desire misery in your relationships – if the drama itself is part of the appeal – then I guess no advice can really go wrong for you… 