A method and system to perform physical synthesis in a chip design process using hierarchical wire-pin co-optimization are described. The method includes providing boundary conditions to each of a plurality of macros of the chip design from a unit level controller, the boundary conditions including initial pin locations and an indication of which of the pins are movable pins for each of the plurality of macros, performing macro-level physical synthesis at each of the plurality of macros, and providing feedback to the unit level controller based on the macro-level physical synthesis performed at each of the plurality of macros, the feedback including a proposed new location for the movable pins of each of the plurality of blocks. The method also includes performing hierarchical co-optimization at the unit level controller based on the feedback from each of the plurality of macros to determine locations for the movable pins.