slice of coconut cake being with a cake spatula

Moist Coconut Cake with Cream Cheese Frosting

Published 10/03/2025
Serves 14
Prep Time 25 minutes
Cook Time 20 minutes
Total Time 45 minutes

This homemade coconut cake is soft, moist, and full of tropical flavor with cream cheese buttercream and toasted coconut. Perfect for any celebration!

This Coconut Cake is soft, moist, and packed with tropical flavor. Fluffy cake layers are made with coconut milk, shredded coconut, and a hint of vanilla, then frosted with a rich coconut cream cheese buttercream. Finished with golden toasted coconut on the outside, it’s a stunning dessert that’s perfect for birthdays, holidays, or any celebration!

slice of coconut cake on a plate

Moist, Fluffy Coconut Cake with Coconut Cream Cheese Frosting! 

This isn’t just any coconut cake. It’s a bakery-worthy dessert made completely from scratch! The cake layers are soft and moist thanks to coconut milk and whipped egg whites, while shredded coconut adds subtle flavor and texture to every bite. Then, everything is finished with a smooth cream cheese buttercream and a coating of golden toasted coconut that makes the cake as stunning to look at as it is delicious to eat.

It’s an elegant centerpiece for birthdays, holidays, weddings, or dinner parties, but just as perfect for a simple weekend baking session when you want something sweet. With the perfect balance of sweetness, creaminess, and crunch, this coconut cake is a favorite for everyone, even those who claim they don’t love coconut in desserts. 

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ingredients for coconut cake

Ingredients You’ll Need

Coconut Cake

Cake Flour: Forms the base of the cake batter, keeping it light and soft. If preferred, regular all-purpose flour or a 1:1 all-purpose gluten-free flour like King Arthur or a cup 4 cup gluten-free flour will work. The cake crumb will just be a bit denser.

Leaveners: We’re using both baking soda and baking powder to create soft, fluffy cake layers. Make sure they’re fresh for the best results! 

Salt: Balances the sweetness of the sugar and enhances the flavor of the sour cream and extracts.

Unsalted Butter: Adds moisture and rich flavor. 

Oil: Creates ultra-moist layers. Use a neutral oil such as vegetable oil or canola oil. 

Granulated Sugar: Sweetens the cake batter. 

Egg Whites: These act as a leavening agent, trapping tiny bubbles inside the cake. Once heated, they expand, creating a light, airy texture. 

Sour Cream: The fat adds richness and creates a softer, tender texture while infusing the cake with a delicious, tangy taste. 

Vanilla Extract: This adds a warm, sweet flavor that enhances and balances the other ingredients in the cake.

Coconut Extract: Infuses every bite with a sweet, coconut flavor. 

Canned Coconut Milk: Keeps the cake moist and enhances the coconut taste. Make sure to use canned, unsweetened coconut milk, not the liquid varieties! 

Sweetened Shredded Coconut: We’re using this both in the cake and sprinkling it on top. 

Coconut Cream Cheese Buttercream

Unsalted Butter: Use room temperature butter. It adds richness and smoothness to the frosting while allowing for easy blending.

Cream Cheese: Provides a tangy, creamy base that gives the frosting its signature flavor and texture. Be sure to use block cream cheese (my fav is Philadelphia)

Powdered Sugar: Sweetens and thickens the frosting. I sift my powdered sugar to ensure a smooth, lump-free consistency.

Vanilla Extract: Infuses the frosting with a delicious vanilla taste and enhances the rest of the ingredients. 

Coconut Extract: Creates a subtle coconut flavor. 

Salt: Balances the sugar and elevates the rest of the ingredients. Your frosting will taste bland without it! 

How to Make a Layered Coconut Cake with Cream Cheese Frosting

Step 1. Spread sweetened shredded coconut in an even layer on a parchment paper-lined baking sheet, and bake until it’s golden brown and fragrant. Set aside to cool. 

toasted coconut on a baking sheet

Step 2. Sift the dry ingredients into a large bowl and set aside. 

Step 3. Next, beat the butter, oil, and sugar with a mixer on medium-high speed until smooth and creamy. Then, mix in the sour cream, vanilla extract, and coconut extract. 

wet ingredients for coconut cake

Step 4. With the mixer on low speed, add about ⅓ of the flour mixture and a third of the coconut milk to the bowl of wet ingredients. Continue to mix, alternating the flour and coconut milk until both are incorporated into the batter. Be careful not to overmix! 

alternating flour and milk with wet ingredients for coconut cake batter

Step 5. Whip the egg whites in a separate bowl on high speed until foamy peaks form. 

whipped egg whites

Step 6. Add the whipped egg whites to the cake batter along with a cup of the shredded coconut, and gently fold to combine. 

Step 7. Next, evenly divide the batter between three greased and lined cake pans. Bake until a toothpick inserted into the center comes out clean. Then, cool the cakes in their pans on a wire rack. 

Step 8. Make the frosting. Beat the softened cream cheese and softened butter on high until smooth and creamy. Then, mix in the vanilla and salt, and slowly add powdered sugar to the mixture. Mix on low, then beat the frosting on high. 

cream cheese buttercream icing

Step 9. Assemble the cake. Place the first layer of cake on a serving plate or cake stand, and spread a layer of frosting evenly on top. Repeat, adding the second and third layers. Then, frost the top and sides of the cake, and sprinkle the toasted coconut on top, covering the cake completely. 

first layer of coconut cake with frosting

Step 10. Chill the coconut cake in the fridge before slicing, and enjoy! 

coconut cake on a cake dish

Tips & Tricks 

  • Use room temperature ingredients. Cold butter, cream cheese, or eggs can cause the batter to curdle or the frosting to be lumpy. Let everything sit out for at least 30 minutes before baking.
  • Don’t overmix the batter. Once you add the dry ingredients, mix just until combined. Similar to buttermilk pancakes, it’s okay if there are a few small lumps! Overmixing can make the cake dense instead of light and fluffy.
  • Whip the egg whites well. Lightly beaten egg whites won’t give you the same lift. Whip until foamy peaks form, and fold them in gently to keep the batter airy.
  • Toast the coconut slowly. Stir every few minutes and keep a close eye on it. Coconut can go from golden to burnt in minutes! 
  • Check for doneness early. Every oven runs differently. So, start testing your coconut cake at the 20-minute mark. A toothpick should come out mostly clean with just a few moist crumbs.
  • Chill before slicing. Once the cake is assembled, a quick chill in the fridge (20–30 minutes) helps the frosting set and makes it easier to cut neat slices. 
slice of coconut cake being with a cake spatula

How to Store 

Room Temperature: If your kitchen is cool, the frosted cake can sit at room temperature for up to 1 day. Just be sure it’s covered with a cake dome or plastic wrap to keep it from drying out.

Refrigerator: For longer storage, keep the layered coconut cake covered in the fridge for 3-4 days. Let slices sit out at room temperature for 15-20 minutes before serving so the cake softens and the frosting becomes creamy again.

Freezer: Both the cake layers and the fully frosted cake freeze well. Wrap the unfrosted layers tightly in plastic wrap and freeze for up to 2 months. If freezing a frosted cake, place it in the freezer uncovered until firm, then wrap tightly in plastic wrap and foil. Thaw overnight in the refrigerator before serving.

coconut cake cut in slices and put on dessert plates

FAQs

Can I use unsweetened shredded coconut instead of sweetened?

I don’t recommend. Sweetened coconut is needed to ensure the correct flavor profile and crispness of the coconut.

Do I have to toast the coconut?

Toasting the coconut adds a nutty, caramelized flavor and a beautiful golden crunch on top of the cake, but you can skip it if you prefer a softer topping. I personally don’t like raw coconut. I find the texture unpleasant.

Why is my cake dense instead of fluffy?

Overmixing the batter can cause the batter to be dense. To ensure a fluffy cake, ensure you are using fresh baking powder and baking soda, and you carefully fold (not stir) your egg whites into the cake batter.

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slice of coconut cake with a piece eaten out

I hope you love my Coconut Cake Recipe! It’s soft, moist, and layered with an incredibly creamy coconut frosting. If you do give this recipe a try, I want to know! Leave a comment with a star rating below. You can also snap a photo & tag @butterloveandsalt on INSTAGRAM. Your reviews help support Butter, Love & Salt and make it possible for me to continue to create delicious recipes. 

slice of coconut cake being with a cake spatula
coconut cake, coconut cake recipe, coconut cake with cream cheese frosting

Moist Coconut Cake with Cream Cheese Frosting

Prep Time :25 minutes
Cook Time :20 minutes
Total Time :45 minutes
Serves: 14

Ingredients

Coconut Cake

  • 2 1/2 cups cake flour fluffed and spooned
  • 2 teaspoons baking powder
  • 1/2 teaspoon baking soda
  • 1 teaspoon salt
  • 1/2 cup unsalted butter at room temperature
  • 1/2 cup vegetable oil or canola oil
  • 1 3/4 cups granulated sugar
  • 5 large egg whites at room temperature
  • 1/2 cup sour cream at room temperature
  • 2 teaspoons pure vanilla extract
  • 1/2 teaspoon coconut extract
  • 1 cup unsweetened canned coconut milk at room temperature
  • 1 cup sweetened shredded coconut

Coconut Cream Cheese Buttercream

  • 12 tbsp unsalted butter at room temperature
  • 16 oz cream cheese brick, slightly softened but not at complete room temperature
  • 4-5 cups powdered sugar adjust to taste and consistency
  • 1 tsp pure vanilla extract
  • 1/2 tsp coconut extract
  • 1/8 tsp salt

Instructions

Toast the Coconut

  • Preheat the oven to 350°F. Spread about 4 cups of sweetened shredded coconut (1 14 oz bag) evenly on a baking sheet lined with parchment. Bake for 18-25 minutes, stirring every 3-5 minutes, until evenly golden brown and fragrant. Remove from the oven and let cool before using.

Make the Coconut Cake

  • Leave the oven at350°F and grease 3 8-inch round cake pans and line with parchment paper to ensure the batter doesn't stick. Set aside.
  • In a large mixing bowl, sift and whisk together the flour, baking soda, baking powder, and salt. Set aside.
  • Beat the butter, oil, and sugar with a mixer on medium-high speed until smooth and creamy, about 2 minutes. Then, mix in sour cream, vanilla extract, and coconut extract.
  • On low speed, add about a third of the flour mixture and a third of the coconut milk, alternating until all of the flour and coconut milk is added to the batter. Be sure not to over mix the batter — a few lumps are okay.
  • In a separate bowl, whip the eggs whites together on high speed until they form foamy peaks, about 3-4 minutes.
  • Then, add the whipped egg whites to the batter and carefully fold them into the batter along with 1 cup of the shredded coconut (do not mix), scraping the bowl as needed.
  • Next, evenly divide the batter in the 3 prepared pans. Bake for 20-25 minutes or until a toothpick comes out clean. Note, baking time may vary depending on your oven. Be sure not to overbake or your cake will be dry.
  • Once done, allow the cakes to cool in the pan on a wire rack until completely cooled.

Make the Frosting

  • In a large bowl, combine the softened cream cheese with the softened unsalted butter and beat on high until smooth and creamy. Next, mix in vanilla extract, salt, and gradually add the powdered sugar, mixing on low speed at first to prevent a sugar cloud. When the sugar is pretty much incorporated, beat the frosting for about 2 minutes on high.

Assemble Cake

  • Place the first layer of cake on a serving plate or cake stand, and evenly spread the top of the cake layer with frosting. Next, add the second and third layers and repeat. Once the last layer is on top, frost the top and sides of the cake. Then, sprinkle 2-3 cups of the toasted coconut on the cake until fully covered.
  • Refrigerate the cake for at least 20-30 minutes before slicing. Then, enjoy!

Nutritional Information

Serving: 1sliceCalories: 734kcal (37%)Carbohydrates: 82g (27%)Protein: 7g (14%)Fat: 44g (68%)Saturated Fat: 25g (156%)Polyunsaturated Fat: 6gMonounsaturated Fat: 10gTrans Fat: 1gCholesterol: 81mg (27%)Sodium: 432mg (19%)Potassium: 168mg (5%)Fiber: 1g (4%)Sugar: 64g (71%)Vitamin A: 989IU (20%)Vitamin C: 1mg (1%)Calcium: 87mg (9%)Iron: 1mg (6%)

Recipe by: Chavez Adams / Butter, Love & Salt | Photography by: Meg McKeehan

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