A method performed by a physical computing system includes, with a first virtual entity manager of a first host machine, detecting an Address Resolution Protocol (ARP) request from a first virtual entity supported by the first virtual entity manager to a second virtual entity having a first logical address within a fan network. The method further includes, with the first virtual entity manager, translating the first logical address to a second logical address and transmitting the ARP request to a second host machine using a physical address resolved from the second logical address, the second host machine supporting the second virtual entity. The method further includes receiving a response to the ARP request, the response including a virtualized physical address of the second virtual entity. The method further includes with the first virtual entity manager, forwarding a data packet from the first virtual entity to the virtualized physical address.