SINGAPORE - Logistics giant DHL broke ground for a $160 million warehouse facility at Tampines LogisPark on Wednesday.

The 90,000 sq m facility, which will be developed by Cache Logistics Trust, is due to be completed by the second half of next year.

This is DHL's 21st facility in Singapore, and its largest so far.

The facility is set to increase DHL's warehouse capacity in Singapore by 40 per cent, and will add about 500 employees to its staff strength.

The logistics giant already has more than 1,500 employees here.

It plans to boost its staff strength in the region to 25,000 by next year - an increase of 65 per cent over 2013.

The new warehouse represents a combined investment of $40 million from DHL and $120 million from Cache Logistics Trust.

The facility will also include an innovation centre focusing on research and development in the logistics industry.