Located in India, grand site of famous building (4)
I believe the answer is:
agra
'site of famous building' is the definition.
(the Taj Mahal is in Agra, India)
'located in india grand' is the wordplay.
'located in' says the answer is hidden in the clue.
'AGRA' is hidden in the letters of 'india grand'.
(Other definitions for agra that I've seen before include "City famous for its Mogul architecture" , "Subcontinental city" , "includes Taj Mahal" , "city founded in 1566" , "mausoleum site" .)