Crossword Genius

Excellent American hotel in town (5)

Ross

I believe the answer is:

neath

'town' is the definition.
(town in Wales)

'excellent american hotel' is the wordplay.
'excellent american' becomes 'neat' (US term for excellent).
'hotel' becomes 'h' (phonetic alphabet: alpha, bravo, charlie etc.).
'neat'+'h'='NEATH'

'in' acts as a link.

(Other definitions for neath that I've seen before include "not on top" , "Town near Swansea" , "town in South Wales" , "Lower than - a town in West Glamorgan" , "Under (poetic)" .)

I've seen this clue in The Sun.
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