I've test driven both:
Forget the Altis. It looks like an out-of-production Corolla. No
character, the rear lamps looks like a cheap Korean car. Inside
looks big, except for the huge floor hump. Rear seats cannot be
folded, unless you buy a 1.8 litre model. The interior is cleverly
camouflage with real "plastic" wood panel, MP3 player and nice
leather seats to boost its perceived value.
You should consider a Vios instead.
But as for the City,
1. Ride comfort is a little stiff, but sound proofing is quite
acceptable.
2. Petrol consumption is definitely better than Altis, about 14 to
15 km/litre
3. Back seats very spacious. No floor hump. Seats back rest and pan
are foldable
4. Accelerate better than the Altis, because it is lighter.