NSW Rugby has pledged to use a monster $20 million state government funding boost to "take the game into the modern era".

The NSW Government will put $20 million towards a new NSW Rugby centre of excellence on University of NSW grounds at their new home in Daceyville, with construction to start at the end of next year.

NSW Rugby boss Andrew Hore said the facility would be a new home for the Waratahs and for a number of charity, community and, potentially, research partners, in a move designed to make the 144-year-old union fit for the future.

Centre of attention: Artist's impression of the NSW Rugby centre of excellence.

"This is not just for one team and high performance," Hore said. "There’s a whole lot of elements to this building that we see as part of our way of taking the game into a modern era. The world is changing fast and we need to start reflecting a lot more what society in Australia looks like. We don't right now."