An example method for load-balanced IP pool distribution among a plurality of forwarding elements is provided. The method may include assigning a plurality of IP pool chunks to the plurality of forwarding elements, each IP pool chunk comprising a plurality of IP addresses, and receiving, from each of the forwarding elements, information indicative of a load on each forwarding element. The method may further include performing load balancing using the information indicative of the load on each forwarding element to determine whether re-assignment of the plurality of IP pool chunks is needed, and re-assigning at least one IP pool chunk of the plurality of IP pool chunks from a first forwarding element to a second forwarding element based on the load balancing.