You can try the absolute positioning of the <a> elements in the upper left corner:
.city_list { position: relative; } a { position: absolute; left: 0; top: 0; }
This will put all the links in one place so that there are no jumps during the transitions. During the transition, the new element will disappear, while the old goes out, and they will overlap during fading.
For example: http://jsfiddle.net/ambiguous/tv9NA/
You have several cities with several links, and just done above leaves them all stacked on top of each. This probably wonβt make anyone very happy, but perhaps if you wrap the <div> around your links, move the positioning to <div> and fadeIn / fadeOut to <div> . Or put each block of <li> elements in their own absolutely positioned <ul> and fade out all lists if necessary.
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