The defender was at the club when Sheikh Mansour took over in 2008 and started splashing the cash.
He feels the club moving training base from Carrington to the Etihad Campus could have a detrimental effect.
Dunne told Balls.ie: “Carrington [the previous training ground], you knew everyone, because the building was so small. Everyone was on top of each other and everyone knew each other.
“There (the new Etihad Campus), I'd imagine you wouldn't know half the people in the building because it's so big. It will lose its soul a bit but that's just the way football is."
He added: "The way we had it, we knew everybody. You mix with them and play games, and you had reserve games.
"It will lose its soul bit, but that's the way football has gone."