Cold area between two hostelries in the shade (8)
I believe the answer is:
cinnabar
'shade' is the definition.
(shade of red)
'cold area between two hostelries' is the wordplay.
'two hostelries' can mean two substitutions for 'hostelry'.
'cold' becomes 'c' (eg on taps).
'area' becomes 'a' (maths abbreviation).
'between' means one lot of letters goes inside another.
'hostelry' becomes 'inn' ('inn' can be a synonym of 'hostelry').
'hostelry' becomes 'bar' (I've seen this before).
'inn'+'bar'='innbar'
'a' put into 'innbar' is 'innabar'.
'c'+'innabar'='CINNABAR'
'in the' acts as a link.
(Other definitions for cinnabar that I've seen before include "Heavy red mineral containing mercury" , "Red mercury sulphide" , "Brian can make vermilion pigment" , "Bright red mineral containing mercury" .)