Dress circle — not new — situated above (3,2)
I believe the answer is:
rig up
'dress' is the definition.
(thesaurus)
'circle not new situated above' is the wordplay.
'circle' becomes 'ring' (synonyms).
'not' indicates named letters should be taken away.
'new' becomes 'n' (common abbreviation eg NT for New Testament).
'situated above' becomes 'up' (I can't justify this - if you can you should give a lot more credence to this answer).
'ring' with 'n' taken out is 'rig'.
'rig'+'up'='RIG UP'
Can you help me to learn more?
(Other definitions for rig up that I've seen before include "Cobble together" , "Erect quickly and insubstantially" , "Assemble (something) in a makeshift way" , "fix" , "Construct in a makeshift way" .)