Universal Logical (Distributed) Routers offer centralized administration and a routing configuration that can be customized at the universal logical router, cluster, or host level.
When you create a universal logical router you must choose whether to enable local egress, as this cannot be changed after creation. Local egress allows you to control what routes are provided to ESXi hosts based on an identifier, the locale ID.
Each NSX Manager is assigned a locale ID, which is set to the NSX Manager UUID by default. You can override the locale ID at the following levels:
Universal logical router
If you do not enable local egress the locale ID is ignored and all ESXi hosts connected to the universal logical router will receive the same routes. Whether or not to enable local egress in a cross-vCenter NSX environment is a design consideration, but it is not required for all cross-vCenter NSX configurations.