The most common and most likely answer to this crossword clue is the 6 letter word COLONY
I've seen this crossword clue in The Daily Telegraph
C
O
L
O
N
Y
More clues leading to the result COLONY
- Lots of bacteria in part of the gut unknown
- Stop last of dodgy group of settlers
- Shy about learner working in group
- Community around London’s West End, reluctant to come forward
- Punctuation mark unknown in settlement
- Part of waste disposal system close to gypsy settlement
- Mark unknown sort of territory
- Group of bacteria, see, inside rabbit’s fur
- Army officer comes to old American city where people have settled
- Group of settlers pass over US city
Buddy explains!

The straight part
We know that "sort of territory" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case sort of territory = colony.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does COLONY mean?
COLONY noun- A governmental unit created on land of another country owned by colonists from a country.
- A settlement of emigrants who move to a new place, but remain culturally tied to their place of origin
- Region or governmental unit created by another country and generally ruled by another country.
- An apartment complex or neighborhood.
- A group of people with the same interests or ethnic origin concentrated in a particular geographic area
- A group of organisms of same or different species living together in close association.
- A local group of Beaver Scouts.