City twice led through goals from Yaya Toure and Edin Dzeko, but strikes from Karim El Ahmadi, Leandro Bacuna and Andreas Weimann gave Paul Lambert's men a shock win.
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"Of course it is disappointing because I think we played very well in this game," thew Chilean told reporters.
"From the beginning we had possession of the ball, we had the chances and we didn't have any risk in our own goals.
"It is unbelievable we didn't win this match but football has these things. The team that deserves to doesn't always win.
"I think the first goal was offside, the second goal was a free-kick and the third goal was unbelievable.
"Maybe drawing 2-2, at that moment, made the players go forward and we left a gap. They had the ball with the goalkeeper and then a chance to score in our goal.
"In five minutes we threw away all the work we did in the whole match.
"I thought the team played the way we need to play and the way I want to play here. I can't believe we didn't win."