Marker pens record European city (7)
I believe the answer is:
cologne
'european city' is the definition.
(I've seen this before)
'marker pens record' is the wordplay.
'marker' becomes 'cone' (eg a traffic cone marks a particular area).
'pens' is an insertion indicator.
'record' becomes 'log' (log is a kind of record).
'cone' enclosing 'log' is 'COLOGNE'.
(Other definitions for cologne that I've seen before include "Scent - German city" , "Perfumed liquid made of oils and alcohol" , "German river port" , "European city" , "Scented toilet water" .)