If you’re on the hunt for a delightful dessert that perfectly balances tropical flavors with rich, creamy textures, this Coconut Cake with Cream Cheese Frosting Recipe is an absolute must-try. Imagine moist, tender layers of coconut-infused cake, enveloped in a luscious cream cheese frosting, and finished with a generous coating of shredded sweetened coconut. This recipe brings together classic American baking with a tropical twist, creating a dessert that’s both comforting and exotic. It’s the kind of cake that brings warmth to any gathering and makes every bite feel like a celebration.

Ingredients You’ll Need
The magic of this Coconut Cake with Cream Cheese Frosting Recipe comes from its simple yet essential ingredients. Each one plays a special part, from the fluffy texture of the cake layers to the irresistible tang of the frosting and the tropical hint of coconut that shines throughout.
- All-purpose flour: Provides the perfect structure for a soft and tender crumb.
- Baking powder and baking soda: Work together as leavening agents to give the cake a light rise.
- Salt: Enhances all the flavors, balancing the sweetness beautifully.
- Unsalted butter: Adds richness and helps create a moist, tender texture.
- Granulated sugar: Sweetens and helps with the cake’s golden color.
- Large eggs: Bind ingredients and contribute to the cake’s softness.
- Vanilla and coconut extracts: Bring depth to the flavor with warm, aromatic notes.
- Canned coconut milk (full fat): Infuses the batter with tropical creaminess and keeps the cake moist.
- Shredded sweetened coconut: Adds texture and bursts of coconut flavor within the cake.
- Cream cheese: Offers tangy richness for the frosting, balancing the sweetness.
- Powdered sugar: Sweetens and smooths the cream cheese frosting.
- More shredded sweetened coconut (for coating): Creates a beautiful, textured finish on the outside.
How to Make Coconut Cake with Cream Cheese Frosting Recipe
Step 1: Prepare Your Pans and Dry Ingredients
Start by preheating your oven to 350°F (175°C). Grease and flour two 9-inch round cake pans and line their bottoms with parchment paper to ensure your cakes come out cleanly. In a medium bowl, whisk together the flour, baking powder, baking soda, and salt. This ensures even distribution and helps your cake rise perfectly.
Step 2: Cream Butter and Sugar, Add Eggs and Extracts
In a large bowl, beat the softened butter and granulated sugar until the mixture is light and fluffy—this usually takes a few minutes. Then add the eggs one at a time, fully incorporating each before adding the next. Stir in vanilla and coconut extracts, which give the batter that signature tropical aroma and make every bite irresistible.
Step 3: Combine Dry Ingredients and Coconut Milk
Now you’ll alternate adding the dry ingredients and the canned coconut milk to your butter mixture, starting and ending with the dry ingredients. Mix just until everything is combined; overmixing can make the cake dense. Finally, fold in the shredded sweetened coconut gently, so it’s evenly distributed without losing too much air.
Step 4: Bake the Cake Layers
Divide the batter evenly between the two prepared pans and smooth the tops for an even bake. Pop them into the preheated oven and bake for 25 to 30 minutes. Test doneness by inserting a toothpick in the center—it should come out clean. Let the cakes cool in their pans for 10 minutes before turning them out onto wire racks to cool completely.
Step 5: Prepare the Cream Cheese Frosting
While the cakes cool, beat the cream cheese and softened butter until smooth and creamy. Gradually add powdered sugar, beating well after each addition to avoid lumps. Blend in the vanilla and coconut extracts to elevate the flavor. The frosting should be thick, smooth, and spread easily—perfect for layering and covering your cake.
Step 6: Assemble and Frost the Cake
Once your cake layers are completely cool, place one layer on your serving plate and spread a generous amount of frosting on top. Carefully place the second cake layer over the first, then cover the entire cake with the remaining frosting. To finish, gently press shredded sweetened coconut all around the sides and top, creating a snowy, tropical coating. For clean slicing, chill the cake for 30 minutes before serving.
How to Serve Coconut Cake with Cream Cheese Frosting Recipe

Garnishes
This cake is stunning as is, but you can add extra flair with toasted coconut flakes for a nuttier crunch or even a few fresh edible flowers to brighten it up. A sprinkle of finely chopped pistachios adds a lovely color contrast and a subtle savory touch that pairs beautifully with the sweetness.
Side Dishes
Pair this tropical wonder with a lightly brewed cup of tea or a fruity cocktail like a piña colada for a perfect flavor harmony. Fresh fruit salad with pineapple, mango, and berries complements the coconut flavors exquisitely and adds a refreshing contrast.
Creative Ways to Present
Want to make a memorable centerpiece? Serve this cake on a rustic wooden board or a bright tropical-patterned plate. You can also slice individual portions and present them in decorative cupcake liners sprinkled with extra coconut for a casual party vibe, or plate with a drizzle of passion fruit sauce for a restaurant-style flair.
Make Ahead and Storage
Storing Leftovers
This Coconut Cake with Cream Cheese Frosting Recipe keeps beautifully in the refrigerator for up to 4 days. Store it covered in an airtight container to preserve moisture and flavor. Before enjoying leftovers, bring the cake to room temperature for the best texture and taste.
Freezing
If you want to save some for later, freeze the cake layers without frosting, wrapped tightly in plastic wrap and foil, for up to 3 months. Thaw them overnight in the fridge before assembling and frosting. The cream cheese frosting doesn’t freeze as well, so it’s best to prepare it fresh.
Reheating
Since this is a cake, reheating is not usually necessary, but if you prefer your slices slightly warm, let them sit at room temperature away from drafts. Alternatively, a quick 10-second zap in the microwave can soften the frosting, but be careful not to melt it too much.
FAQs
Can I use fresh coconut instead of shredded sweetened coconut?
Absolutely! Fresh coconut will add a lovely natural texture and flavor, but because it contains more moisture, you might want to reduce the coconut milk slightly to keep the batter from becoming too wet.
Is it possible to make this cake dairy-free?
Yes, by using dairy-free butter and cream cheese alternatives along with coconut milk, you can adapt this Coconut Cake with Cream Cheese Frosting Recipe to be dairy-free. Just be sure the substitutes have similar fat content for the best texture.
How do I make the cake fluffier?
For a lighter texture, try separating the eggs and beating the egg whites to soft peaks before folding them gently into the batter at the end, as suggested in the recipe notes. This adds air and lift without compromising moisture.
Can I substitute coconut milk with regular milk?
You can, but keep in mind that you’ll lose some of that signature coconut flavor and richness. If you want to retain coconut elements, consider adding extra shredded coconut or a splash of coconut extract when using regular milk.
What’s the best way to get clean slices of this coconut cake?
Chill the cake for at least 30 minutes before slicing to firm up the frosting. Use a sharp, clean knife, wiping it between cuts. This helps maintain neat layers and prevents the frosting from smudging.
Final Thoughts
This Coconut Cake with Cream Cheese Frosting Recipe is truly one of those special treats that makes you feel warm inside. Whether you’re celebrating a holiday, hosting a party, or simply indulging your sweet tooth, this cake brings joy and tropical sunshine to your table. Give it a try—you’ll find yourself reaching for seconds and wanting to share it with everyone you love!
Print
Coconut Cake with Cream Cheese Frosting Recipe
- Prep Time: 25 minutes
- Cook Time: 30 minutes
- Total Time: 1 hour 15 minutes
- Yield: 12 slices
- Category: Dessert
- Method: Baking
- Cuisine: American
- Diet: Vegetarian
Description
This Coconut Cake with Cream Cheese Frosting is a moist and fluffy American dessert featuring shredded sweetened coconut baked into a tender vanilla cake with hints of coconut extract. The cake is topped with a rich, creamy cream cheese frosting and generously coated with shredded coconut for a tropical twist that’s perfect for celebrations or anytime indulgence.
Ingredients
For the Cake
- 2 ½ cups all-purpose flour
- 2 ½ teaspoons baking powder
- ½ teaspoon baking soda
- ½ teaspoon salt
- 1 cup unsalted butter, softened
- 1 ¾ cups granulated sugar
- 4 large eggs
- 1 teaspoon vanilla extract
- ½ teaspoon coconut extract
- 1 cup canned coconut milk (full fat)
- 1 cup shredded sweetened coconut
For the Frosting
- 8 ounces cream cheese, softened
- ½ cup unsalted butter, softened
- 3 ½ cups powdered sugar
- ½ teaspoon vanilla extract
- ½ teaspoon coconut extract
- 2 cups shredded sweetened coconut, for coating
Instructions
- Prepare the Pans and Dry Ingredients: Preheat your oven to 350°F (175°C). Grease and flour two 9-inch round cake pans and line the bottoms with parchment paper to prevent sticking. In a medium bowl, whisk together all-purpose flour, baking powder, baking soda, and salt until evenly combined.
- Cream Butter and Sugar, Add Eggs and Extracts: In a large mixing bowl, cream the softened butter and granulated sugar together until the mixture is light and fluffy. Beat in the eggs one at a time, making sure each is fully incorporated before adding the next. Stir in the vanilla and coconut extracts for flavor.
- Mix Dry and Wet Ingredients Alternately: Add the dry ingredients alternately with the canned coconut milk to the butter mixture, beginning and ending with the dry ingredients. Mix gently just until everything is combined to maintain a tender crumb.
- Fold in Shredded Coconut: Carefully fold in the shredded sweetened coconut to distribute it evenly throughout the batter without overmixing.
- Bake the Cake: Divide the batter evenly between the prepared pans, smoothing the tops with a spatula. Bake in the preheated oven for 25–30 minutes, or until a toothpick inserted into the center comes out clean. Allow the cakes to cool in the pans for 10 minutes.
- Cool Completely: After the initial cooling in the pans, turn the cakes out onto wire racks and let them cool completely to room temperature before frosting.
- Make the Frosting: Beat together the softened cream cheese and butter until smooth and creamy. Gradually add powdered sugar and continue mixing until the frosting is smooth. Stir in vanilla and coconut extracts to enhance the flavor.
- Assemble and Frost the Cake: Place one cake layer on a serving plate and spread frosting evenly on top. Stack the second layer over it and frost the top and sides of the entire cake with the remaining frosting.
- Coat with Shredded Coconut and Chill: Gently press shredded sweetened coconut all over the frosted cake to coat the outside. Chill the assembled cake in the refrigerator for 30 minutes to set before slicing for clean, neat portions.
Notes
- For a fluffier cake, separate the eggs and beat the egg whites to soft peaks, then fold them into the batter at the end.
- The cake can be made a day ahead and stored in the fridge—just bring it to room temperature before serving to enhance flavor and texture.
- Make sure to use full-fat coconut milk for a rich coconut flavor and moist cake.
- Using parchment paper liner helps to easily remove the cake layers from the pans without breaking.