Real have drawn City in the Champions League round 16 draw.
Butragueno said: "We know each other very well. They are a great team who also have experience and are used to this type of match, so they will be a very difficult opponent.
"But this competition is very special for us, we play the second game at the Bernabéu... We have to get a good result in Manchester and, if we are able to do so, I'm sure that with the support of our fans we will have more chances of returning here to the draw for the last 16.
"We know each other very well. They are one of the candidates to win the title. It is true that this qualifying phase has been a bit strange and that is why they have finished so low, but we know that they are very strong and we have to play at our highest level."
On Real's schedule, El Vulture added: "It's a very demanding calendar for the players, but we have to adapt and get the best out of each one of us to try to eliminate City . The calendar is what it is, the draw was what it was and we have to adapt."