Posts found on Google suggested that doing an 'svnadmin dump' with an
older version of svn, and 'svnadmin load'-ing that on a new svn system,
essentially recreating the repostory from scratch, helps recover from
this situation which is indeed true.
This is all nice if a repo has a few commits but, as one might
imagine, a repo from 2006 has a gazillion of commits. The one i'm
testing with is really small, but i also have a repo that's 28GB on
disk and i don't really feel like dumping and loading that.

You can use scnsync to create an upgraded copy of repository as well. Especially useful if You want to migrate repository to new machine.