What does the cryptic crossword clue "Lair occupied by second evil spirit (5)" mean?

This cryptic clue uses wordplay to arrive at the answer. Visit the page for progressive hints — definition, wordplay type, and a full step-by-step explanation.

Lair occupied by second evil spirit (5)

Telegraph Prize Cryptic #3177 | 15 Down | 2022-09-11 flower

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