First things first preheat your oven to 350°F (175°C). Grease and flour two 9-inch round cake pans, or line them with parchment paper for easier cake removal later. A little prep now makes all the difference when it’s time to take the cakes out.

In a large mixing bowl, beat together the softened butter and granulated sugar with an electric mixer. Keep mixing until the mixture looks pale, light, and fluffy—this usually takes about 3–4 minutes and sets the stage for a tender cake.

Crack in the eggs one at a time, mixing well after each addition. Then stir in the lemon extract, coconut extract, fresh lemon zest, and cream of coconut. This combination gives the batter a bright, tropical flavor.

In a separate bowl, whisk together the flour, baking powder, baking soda, and salt. Now, gently add the dry mixture into the wet batter, alternating with the milk. Start and end with the flour mixture to keep the batter smooth. Finally, fold in the shredded coconut for a little texture and sweetness.

Divide the batter evenly between your prepared pans and smooth out the tops. Bake for 35–40 minutes, or until a toothpick inserted in the center comes out clean. Allow the cakes to rest in their pans for about 10 minutes, and then carefully transfer them onto a wire rack to cool completely.

In a clean mixing bowl, beat the cream cheese and butter together until silky smooth. Add the vanilla extract, coconut milk (or heavy cream), and just a pinch of salt. Gradually beat in the confectioners’ sugar until the frosting is fluffy and spreadable.

Place one cooled cake layer on a serving plate and spread a generous layer of frosting on top. Gently set the second cake layer over it and frost the top and sides until fully covered. For the final touch, sprinkle with shredded coconut or a bit of fresh lemon zest for a pretty, flavorful finish.