Issue should be fixed in Android Studio 3.4.2.
EDIT: Here is my old answer on how to fix it in Android Studio 3.4.0 and 3.4.1:
Using Gradle 5.4 instead of 5.1.1 helped me with this error.
Update gradle-wrapper.properties file with:
distributionUrl=https\://services.gradle.org/distributions/gradle-5.4-all.zip
Please note I haven’t tested older Gradle versions, so it’s possible even (for example) 5.2 version will work. You can see all Gradle releases here – https://gradle.org/releases/