The hadith you are inquiring about is most likely the one documented in Al-Mu'jam al-Awsat, but the name of the place is not mentioned in the hadith:
عن عبيد بن إسحاق العطار حدثنا عمار بن سيف، عن الأعمش، عن أبي سفيان، عن جابر رضي الله عنه قال: قال رسول الله صلى الله عليه وسلم: أوحى الله إلى ملك من الملائكة أن اقلب مدينة كذا وكذا على أهلها. قال: إن فيه عبدك فلانا لم يعصك طرفة عين. قال: اقلبها عليه وعليهم فإن وجهه لم يتمعر لي ساعة قط
— NOTE: My own translation, so treat with care:
Narrated through 'Ubaid ibn Is'hāq al-'Attār through 'Ammār ibn Saif through Al-A'mash through Abu Sufyān through Jābir that the Messenger of Allah ﷺ said: "Allah revealed to an angel among the angels to destroy so-and-so city with all of its people. He [the angel] said: "Therein is Your Servant. He never disobeyed You, not even for a blink of an eye." He [Allah] said: "Turn it over on him and them, for his face never showed signs of displeasure for My Sake."
— Al-Mu'jam al-Awsat, Vol. 7, pp. 336, Hadith 7661
The name of the place was also not specified in the narration in Ihyā' 'Ulum ad-Dīn 2/310 by Al-Ghazāli, nor in Jam' al-Fawā'id 4/326/7908 by Mohammad ibn Sulaiman al-Maghribi, nor in Mishkāt al-Masābīh 4/1426/5152 by Abu 'Abdullah At-Tabrīzi, nor in Mu'jam Ibn Al-A'rābi 3/948/2016 by Abu Sa'īd Ibn Al-A'rābi, nor in Sho'ab al-Imān 11/74/7189 by Al-Bayhaqi.
All of them had the same narration chain. The hadith is graded as da'īf jiddan (very weak) by Muhammad Nasiruddin al-Albani. However, the concept is correct as demonstrated in other hadiths (see Jami' at-Tirmidhi, Vol. 5, Book 44, Hadith 3057 — "When the people see the wrongdoer, and they do not stop him from doing wrong, then it is soon that Allah shall envelop them in a punishment from Him.").