Caterer supplies several adjoining houses (7)
I believe the answer is:
terrace
'several adjoining houses' is the definition.
'terrace' can be an answer for 'houses' (I've seen this before). I am not sure about the 'several adjoining' bit.
'caterer supplies' is the wordplay.
'supplies' indicates anagramming the letters (I've seen 'supply' mean this (in a supple way)).
'caterer' is an anagram of 'TERRACE'.
Can you help me to learn more?
(Other definitions for terrace that I've seen before include "Retrace (anag.)" , "steps in stadium" , "level raised" , "Flat area (on slope)" , "Veranda" .)