How to deploy kubernetes cluster with load balancer profile without public IP defined in designated resource group


I have a Kubernetes cluster in my Terraform template, as follows:

resource "azurerm_kubernetes_cluster" "k8s-cluster-dev" {
  name                = "k8s-cluster-dev"
  location            = azurerm_resource_group.api-rg.location
  resource_group_name =
  dns_prefix          = "k8s-cluster-dev"
  depends_on = [

  default_node_pool {
    name                        = "default"
    node_count                  = 1
    vm_size                     = "Standard_B4ms"
    vnet_subnet_id              =

  network_profile {
    network_plugin = "azure"
    network_policy = "azure"
    service_cidr   = ""
    dns_service_ip = ""
    load_balancer_profile {
      outbound_ip_address_ids = []

  identity {
    type = "SystemAssigned"

The public IP mentioned above has to be deployed into a “Managed Cluster” resource group (MC_***) in order for Ingress controller to be able to find it. If deployed elsewhere, the ingress controller cannot be deployed successfully.

This is the public IP address Terraform:

resource "azurerm_public_ip" "k8s-cluster-dev-ingress-load-balancer-public-ip-address" {
  name                = "k8s-cluster-dev-ingress-load-balancer-public-ip-address"
  resource_group_name = "MC_${var.resource_group_name_api_rg}_${var.k8s_cluster_dev_name}_${var.location_code}"
  location            = azurerm_resource_group.api-rg.location
  allocation_method   = "Static"
  sku                 = "Standard"

If I first deploy the kubernetes cluster without deploying the public IP address (and remove the load_balancer_profile.outbound_ip_address_ids from the template), everything works fine

But when I try to deploy both of them in one go, as you can see, it creates cyclic dependency. I cannot deploy the kubernetes cluster until the public IP address is deployed in the right resource group. And that resource group is not created until the creation of kubernetes cluster finishes successfully.

If I try to create the MC_*** resource group beforehand, Kubernetes doesn’t like it and the deployment fails complaining about an “already existing” resource group.

I use this Ingress nginx controller: Installation with Helm | NGINX Ingress Controller. I couldn’t find a way to define a custom resource group while installing it with helm

The only other way is to first deploy the terraform template without load balancer profile and then re-deploy with, but I’d like to avoid it if possible.

How do I resolve this without having to apply the template twice?