Grace, giving a party for sailors (5)
I believe the answer is:
adorn
'grace' is the definition.
(synonyms)
'a party for sailors' is the wordplay.
'party' becomes 'do' (do can informally mean a party).
'for' means one lot of letters go next to another.
'sailors' becomes 'RN' (Royal Navy).
'a'+'do'+'rn'='ADORN'
'giving' acts as a link.
(Other definitions for adorn that I've seen before include "Beautify - decorate - enhance" , "Make more attractive" , "Improve appearance" , "Attire" , "Embellish, decorate" .)