A yard in run-down area provides refuge (6)
I believe the answer is:
asylum
'refuge' is the definition.
('asylum' can be a synonym of 'refuge')
'a yard in run-down area' is the wordplay.
'yard' becomes 'y'.
'in' means one lot of letters goes inside another.
'run-down area' becomes 'slum' (I've seen this before).
'y' placed into 'slum' is 'sylum'.
'a'+'sylum'='ASYLUM'
'provides' acts as a link.
(Other definitions for asylum that I've seen before include "Shelter for refugees" , "Sanctuary or kind of hospital" , "Shelter given to refugee" , "sought by immigrants" , "Place of refuge, sanctuary" .)