Looted city? (6)

I believe the answer is:

toledo

I'm a little stuck... Click here to teach me more about this clue!

'city?' is the definition.
(I've seen this before)

'looted' is the wordplay.
'looted' anagrams to 'TOLEDO'.
But, I am not clear how this is indicated.

Can you help me to learn more?

(Other definitions for toledo that I've seen before include "Tapering sword" , "Spanish city known for swords" , "Blade" , "Spanish city noted for swords" , "Spanish city on R. Tagus" .)

I've seen this clue in the Evening Standard.

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