Resort in Iberian country not favoured (3)
I believe the answer is:
spa
'resort' is the definition.
(spa is a kind of resort)
'iberian country not favoured' is the wordplay.
'iberian country' becomes 'spain' (country on the Iberian Peninsula).
'not' suggests deleting specific letters.
'favoured' becomes 'in' (I've seen this in other clues).
'spain' with 'in' removed is 'SPA'.
'in' is the link.
(Other definitions for spa that I've seen before include "Watering place" , "town for his health!" , "Curative resort" , "eg Vichy" , "E.g. Harrogate" .)