Party around university pair (3)
I believe the answer is:
duo
'pair' is the definition.
('duo' can be a synonym of 'pair')
'party around university' is the wordplay.
'party' becomes 'do' (do is a kind of party).
'around' means one lot of letters goes inside another.
'university' becomes 'u'.
'do' placed around 'u' is 'DUO'.
(Other definitions for duo that I've seen before include "Music for two" , "Musical work for two" , "Couple, pair" , "Twosome" , "Double act" .)