Historic location should be restored as Ionic (7)
I believe the answer is:
nicosia
'historic location' is the definition.
Although both the answer and definition are singular nouns, I cannot see how they can define each other.
'restored as ionic' is the wordplay.
'restored' indicates anagramming the letters (I've seen this in other clues).
'as'+'ionic'='asionic'
'asionic' is an anagram of 'NICOSIA'.
'should be' acts as a link.
Can you help me to learn more?
(Other definitions for nicosia that I've seen before include "It's capital in Cyprus (7)" , "Divided Cypriot city" , "capital city" , "European Union's most southerly capital" , "Mediterranean capital" .)