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Śrīmad-Bhāgavatam 2.10.11

తాస్వవాత్సీత్ స్వసృష్టాసు సహస్రంపరివత్సరాన్ । తేన నారాయణో నామ యదాప: పురుషోద్భవా: ॥ ౧౧ ॥
tāsv avātsīt sva-sṛṣṭāsu
[taasv avaatseet sva-srishtaasu]
sahasraṁ parivatsarān
[sahasram parivatsaraan]
tena nārāyaṇo nāma
[tena naaraayano naama]
yad āpaḥ puruṣodbhavāḥ
[yad aapah purushodbhavaah]
Word-for-word
tāsu — in that avātsīt — resided sva — own sṛṣṭāsu — in the matter of creation sahasram — one thousand parivatsarān — years of His measurement tena — for that reason nārāyaṇaḥ — the Personality of Godhead named Nārāyaṇa nāma — name yat — because āpaḥ — water puruṣa-udbhavāḥ — emanated from the Supreme Person.
Blended reading (Sanskrit + English inline)
tāsv avātsīt sva-sṛṣṭāsu
tāsu
in that
avātsīt
resided
sva
own
sṛṣṭāsu
in the matter of creation
sahasraṁ parivatsarān
sahasram
one thousand
parivatsarān
years of His measurement
tena nārāyaṇo nāma
tena
for that reason
nārāyaṇaḥ
the Personality of Godhead named Nārāyaṇa
nāma
name
yad āpaḥ puruṣodbhavāḥ
yat
because
āpaḥ
water
puruṣa-udbhavāḥ
emanated from the Supreme Person.
That Supreme Person is not impersonal and therefore is distinctively a nara, or person. Therefore the transcendental water created from the Supreme Nara is known as nāra. And because He lies down on that water, He is known as Nārāyaṇa.
Gauḍīya Ācāryas
Viśvanātha Cakravartī Ṭhākura Gauḍīya
Translation
He dwelled from many years in that water created from himself. Because of that he is called Nārāyaṇa, since the waters (nārā) arose from the puruṣa (nara).
Commentary

By deriving the name Nārāyaṇa, his dwelling in the water becomes clear. By residing (tena) in that water he got the name Nārāyaṇa because the waters arose from the puruṣa. Nara means the puruṣa. Nāra is that which arises from him. He whose resting place (ayana) is that water (nāra) is called Nārāyaṇa. It is said:

āpo nārā iti proktā āpo vai nara-sūnavaḥ | ayanaṁ tasya tāḥ pūrvaṁ tena nārāyaṇaḥ smṛtaḥ ||

The word āpaḥ and nārā are synonymous for “water” since the waters are considered the sons of Nara, the primeval male or Mahā-viṣṇu. [Note: Nāra means the offspring of Nara. ] Since these waters act as the bed (ayana) of Mahā-viṣṇu from the ancient past, he is called Nārāyaṇa. Viṣṇu Purāṇa 1.4.6

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