Bell, part of City's 1967-68 First Division title-winning team, scored 152 goals in 492 games for the Manchester club between 1966 and 1979.
He also won the FA Cup, League Cup and the European Cup Winners' Cup at City.
"Colin Bell will always be remembered as one of Manchester City's greatest players and the very sad news today of his passing will affect everybody connected to our club," said City chairman Khaldoon Al Mubarak in a statement.
"Colin was incredibly humble and a modest and understated man with an obvious inner strength of character. Our Club has lost a true great."
Bell, who had a stand named after him at the Etihad stadium in 2004, played 48 times for England.