Entanglement is a vital property of multipartite quantum systems, characterised by the inseparability of quantum states of objects regardless of their spatial separation. Generation of entanglement between increasingly macroscopic and disparate systems is an ongoing effort in quantum science which enables hybrid quantum networks, quantum-enhanced sensing, and probing the fundamental limits of quantum theory. The disparity of hybrid systems and the vulnerability of quantum correlations have thus far hampered the generation of macroscopic hybrid entanglement. Here we demonstrate, for the first time, generation of an entangled state between the motion of a macroscopic mechanical oscillator and a collective atomic spin oscillator, as witnessed by an Einstein-Podolsky-Rosen variance below the separability limit, $0.83 pm 0.02<1$. The mechanical oscillator is a millimeter-size dielectric membrane and the spin oscillator is an ensemble of $10^9$ atoms in a magnetic field. Light propagating through the two spatially separated systems generates entanglement due to the collective spin playing the role of an effective negative-mass reference frame and providing, under ideal circumstances, a backaction-free subspace; in the experiment, quantum backaction is suppressed by 4.6 dB. Our results pave the road towards measurement of motion beyond the standard quantum limits of sensitivity with applications in force, acceleration,and gravitational wave detection, as well as towards teleportation-based protocols in hybrid quantum networks.