Danish Dream Cake Recipe

Danish dream cake, also known as coconut caramel cake, is a light, springy cake with a delicious coconut caramel covering. This cake has a lovely coconut topping and is surprisingly light and fluffy.

Danish Dream Cake Recipe

Why the name Danish dream cake

The Danish Dream Cake is a favorite in Denmark where it is known as drommekage. The cake got its name "dream cake," since its taste is so dreamy. This cake is so sweet and has a chewy layer of caramelized coconut on top of a light, creamy vanilla sponge cake.

The Danish Dream cake’s origin may be traced back to a Danish village. The cake gained popularity after it took first place in a cake-baking competition held by a Danish food business in 1960. It was presented by Jytte Andersen and became so well-liked that it immediately rose to the top of the list of most well-known cakes in Denmark.

Is the Danish Dream Cake that interesting? Try this recipe to find out.

Tips for baking Danish dream cake

Although the coconut caramel topping on this light and fluffy cake, which resembles a sponge, is to die for.

Despite the caramel topping's frightening appearance, it is really simple to produce when using a few methods and tips:

Allow the caramel sauce to get a beautiful deep brown. Give the caramel sauce enough time to reach a good, deep brown color for the best results.

Turn off the heat when adding the milk to avoid the sauce later stiffening up.

To avoid the milk scorching, add it gently while stirring.

To keep the caramel from burning, stir it frequently. Avoid leaving your caramel to remain on the stove unattended or it will burn and get sticky. To encourage the sugar to dissolve and prevent it from burning on the bottom of the pan, stirring frequently.

Coconut should not be added until caramel sauce has developed. Don't add the coconut until the sauce is thick and caramelized to avoid scorching the sugar in the coconut and to preserve the flavor and texture of the coconut.


For the cake

3 eggs

1 cup granulated sugar

½ tsp vanilla sugar

1¾ cups all-purpose flour or cake flour

2 tsp baking powder

150 ml whole milk

75 g melted butter

For the topping

100 g butter

150 g dried shredded coconut

50 g dark brown sugar

75 ml whole milk

Pinch salt


Turn the oven on to 375°F then prepare a greased and parchment-lined 9-inch spring form or round cake pan.

Using a stand mixer, whisk the eggs, granulated sugar, and vanilla sugar on a high speed for a few minutes, until white and light.

Sift flour and baking powder in a separate bowl then fold the flour into the egg mixture.

Combine the milk and the melted butter in a jug then carefully pour the mixture into the batter and fold it in until combined.

Fill the prepared cake pan with the cake batter and place the cake pan in the oven.

Bake in the preheated oven for 35 to 40 minutes, or until nearly done. For the first 20 minutes of the whole baking period, try to avoid opening the oven door.

Put all the ingredients in a saucepan and gently melt them together to make the topping.

Remove the cake from the oven and carefully spread the topping all over the cake.

Return to the oven then turn up the heat to 400°F and bake for a further 5 minutes.

Leave the cake to cool before serving


From generation to generation, people have passed down and made the Danish Dream cake recipe. It is a straightforward cake made using flour, sugar, butter, eggs, and milk. However, the cake's distinctive flavor comes from the coconut topping. If you enjoy the topping a little too much, create two batches of the topping to have a thicker layer for your cake.