Peninsula Grill Charleston Coconut Cake Recipe: Southern Legacy in Every Slice

This legendary Charleston cake delivers layers of pure Southern charm with its tender crumb and cloud-like coconut frosting. My version stays true to the Peninsula Grill original that made it famous.

Each bite offers a perfect balance of moist vanilla cake and sweet coconut filling. The secret is in the slow baking and generous frosting application that defines this iconic dessert.

Ingredients for Peninsula Grill Charleston Coconut Cake

Stock your pantry with these staples for a showstopping Southern dessert everyone will remember.

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The coconut is non-negotiable here. Sweetened shredded coconut (like Baker’s or Let’s Do Organic) gives the right texture—unsweetened just won’t cut it. For the cream of coconut, Coco López is the classic choice and easy to find in the Latin section. Butter should be room temperature—take it out an hour before baking. The milk and eggs need to be room temp too, so plan ahead.

No cake flour? All-purpose works fine. Out of cream of coconut? Coconut milk plus extra sugar in a pinch, but it won’t be quite the same. If you’re avoiding dairy, coconut milk beverage can replace the whole milk (use full-fat). The frosting is where the magic happens—don’t skimp on the heavy cream, or it won’t hold up right.

Leftover cake keeps well at room temp under a cake dome for 3 days, or refrigerate for up to 1 week. The frosting firms up in the fridge, so let it sit out 30 minutes before serving. Can be frozen (unfrosted layers) for 3 months wrapped tight.

Step-by-Step Instructions for Charleston Coconut Cake

Here’s my proven method for baking this Southern classic with perfect texture every time.

Step 1: Prepare the Cake Batter

Preheat your oven to 325°F. In a large bowl, cream together the 1.5 cups unsalted butter and 2.5 cups granulated sugar until light and fluffy—about 3-4 minutes on medium speed. This step aerates the butter, creating a fine crumb in your finished cake.

Add the 4 whole large eggs one at a time, beating well after each addition. Stir in the 2 tsp pure vanilla extract. In a separate bowl, whisk together the 3 cups all-purpose flour, 1 tbsp baking powder, 0.5 tsp baking soda, and 0.5 tsp salt. Alternate adding the dry ingredients and 1 cup whole milk to the butter mixture, beginning and ending with flour.

Fold in the 8 oz sweetened shredded coconut and 1 cup sour cream until just combined. The batter will be thick and slightly lumpy—that’s perfect.

Step 2: Bake the Cake Layers

Divide the batter evenly between three greased and floured 9-inch round cake pans. Smooth the tops with a spatula and tap the pans gently on the counter to remove air bubbles. This prevents large holes in your finished layers.

Bake for 25-30 minutes or until a toothpick inserted in the center comes out clean. Rotate the pans halfway through baking for even browning. The layers are done when they spring back lightly when touched and pull away slightly from the pan edges.

Step 3: Prepare the Coconut Frosting

In a chilled bowl, beat the 2 cups heavy cream until soft peaks form. In a separate bowl, combine the 2 cups powdered sugar and 1 can cream of coconut. Gently fold the cream of coconut mixture into the whipped cream until smooth and creamy.

Chill the frosting for 15 minutes before using. This makes it easier to spread and prevents it from running down the sides of your cake. The frosting should be thick but still spreadable—like soft-serve ice cream.

Step 4: Assemble and Frost the Cake

Level the tops of the cooled cake layers if necessary. Place the first layer on a serving plate and spread a generous layer of frosting over the top. Repeat with the remaining layers, using all but about 1 cup of the frosting for the middle and top.

Frost the sides and top of the cake with the remaining frosting. Press additional sweetened shredded coconut onto the sides and top of the cake for a classic Charleston finish. Chill the finished cake for 30 minutes before slicing to allow the frosting to set.

Best Sauces and Condiments for This Dish

Classic Coconut Sauce

For an extra coconut punch, simmer 1 can cream of coconut with ¼ cup heavy cream and 2 tbsp powdered sugar until slightly thickened. Drizzle this over individual slices for added richness. It complements the cake’s existing coconut flavor beautifully. ✨

Vanilla Bean Glaze

A simple glaze can elevate each slice. Whisk 1 cup powdered sugar with 2 tbsp whole milk and 1 tsp vanilla extract until smooth. The glaze adds a delicate sweetness that won’t overpower the cake’s coconut notes.

Toasted Coconut Garnish

Toast ½ cup sweetened shredded coconut in a dry skillet over medium-low heat for 3-4 minutes, stirring constantly, until golden. Sprinkle this over the frosting for added texture and visual appeal. I love the nutty aroma this brings.

Raspberry Coulis

The tartness of raspberry coulis cuts through the sweetness perfectly. Blend 1 cup fresh raspberries with 2 tbsp granulated sugar and strain. Drizzle lightly around the plate for a restaurant-worthy presentation. 💛

Caramel Drizzle

Warm ½ cup store-bought caramel sauce with 1 tbsp heavy cream to loosen. The caramel adds depth and pairs wonderfully with the coconut. I use Smucker’s for consistent quality.

Citrus Zest Finish

Finely grate lemon or lime zest over the frosting just before serving. The citrus oils brighten the rich flavors. A little goes a long way—about 1 tsp per cake is perfect.