@mpontillo would you mind testing with the libvirt that's in the release
pocket of Bionic?

https://launchpad.net/ubuntu/+source/libvirt/4.0.0-1ubuntu8

That would help tell us if libvirt has had an SRU that changed this
behavior in the short time that Bionic has been released.

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https://bugs.launchpad.net/bugs/1784501

Title:
  libvirtd is unable to configure bridge devices inside of LXD
  containers

Status in linux package in Ubuntu:
  Fix Released
Status in linux source package in Bionic:
  Triaged

Bug description:
  libvirtd cannot properly configure the default bridge device when
  installed inside of unprivileged LXD containers. 'systemctl status
  libvirtd' shows the following error:

    error : virNetDevBridgeSet:140 : Unable to set bridge virbr0
  forward_delay: Permission denied

  This is caused due to the files under /sys/class/net/ being owned by
  init namespace root rather than container root even when the bridge
  device is created inside of the container. Here's an example from
  inside of an unprivileged container:

  # brctl addbr testbr0
  # ls -al /sys/class/net/testbr0/bridge/forward_delay 
  -rw-r--r-- 1 nobody nogroup 4096 Jul 30 22:33 
/sys/class/net/testbr0/bridge/forward_delay

  libvirt cannot open this file for writing even though it created the
  device. Where safe, files under /sys/class/net/ should be owned by
  container root.

  The following upstream patches have been merged into linux-next which
  fix this bug:

  
https://git.kernel.org/pub/scm/linux/kernel/git/next/linux-next.git/commit/?id=c59e18b876da3e466abe5fa066aa69050f5be17c
  
https://git.kernel.org/pub/scm/linux/kernel/git/next/linux-next.git/commit/?id=d1753390274f7760e5b593cb657ea34f0617e559

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