Large animal in New York city (7)
I believe the answer is:
buffalo
This clue is a double definition.
'large animal' is the first definition.
(I know that buffalo is a type of large animal)
'new york city' is the second definition.
(city in New York state)
'in' acts as a link.
(Other definitions for buffalo that I've seen before include "NY port; --- Bill (Cody)" , "Wild ox or bison" , "Herd animal; New York port" , "Colloquialism for the N American bison" , "Zoo's inhabitant" .)