Trying to create a new prebuilt list in webform
When you are building option list in code, don't use human-readable syntax. Use machine-readable one. So instead of this:

$options[] = "1|city2 - Address1 - Floor - Building Name";


you should use this:

$options[1] = "city2 - Address1 - Floor - Building Name";


Second very bad thing you did is:

?&gt;

&lt;?php


It is highly discouraged to ever close php block. Everywhere except template files you should have &lt;?php as the very first 5 bytes, and no ?&gt; at all. What you apparently did was outputting few empty lines to the user's screen where nothing expected them.