Laze or tan in the Canaries (9)

I believe the answer is:

lanzarote

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'the canaries' is the definition.
I don't know anything about this answer so I cannot tell whether it can be defined by this definition.

'laze or tan' is the wordplay.
'laze or tan' can be anagrammed to 'LANZAROTE'.
But, I'm not clear how the anagram is indicated.

'in' acts as a link.

Can you help me to learn more?

(Other definitions for lanzarote that I've seen before include "Spanish island" , "One of the Canary Islands" , "somewhere in Canaries" .)

I've seen this clue in The Globe and Mail.

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