Call at first-rate city (5)
I believe the answer is:
dubai
'city' is the definition.
(UAE city)
'call at first-rate' is the wordplay.
'call' becomes 'dub' (both can mean to name).
'at' says to put letters next to each other.
'first rate' becomes 'AI' (resembles A1, old-fashioned slang for very good).
'dub'+'ai'='DUBAI'
(Other definitions for dubai that I've seen before include "Port city of UAE" , "Arab city" , "Gulf city/state" , "One of the United Arab Emirates" , "One of the UAE and its capital" .)