Yes.
Thats my final decision after meditating about this.
Even my previous dwarven settlements had not much changes from one level to another.
This is due to many reasons.
Firstly, this layout comes from a Teutonic Knight cvanilla castle, and with the change I did in heighs, seems to me the better option for a dwarven settlement. Bigger places would need to be filled with more structures, something I dont have. I actually dont like houses and generic buildings for dwarves. I think that towers and bunkers make more sense.
Large serttlements using vanilla medieval layouts is not something I would like to see for dwarves.
Besides, the dwarves build their places underground, the more you develop a settlement, the more they dig, and thats not somehting you can see on the surface.
Considering that this new settlement have undestroyable/not reachable walls and that they will be used for all levels, including towns, now we will see dwarves having really strong settlements, which is a faction advantage.