These coconut cupcakes with lime buttercream frosting pack three layers of coconut flavor into tender, buttery cupcakes. They’re finished with a light, fluffy lime buttercream and a sprinkle of toasted coconut — a perfect tropical treat.
When you want a cupcake that tastes like summer, warm sun and beachy vibes, these Coconut Cupcakes with Lime Buttercream Frosting deliver. Moist coconut cupcakes meet bright, creamy lime frosting for a refreshing dessert that’s both familiar and a little different from the usual vanilla or chocolate.
The cupcakes are built on a soft, buttery base with sweet coconut notes and a light, slightly nutty undertone. The lime buttercream brings a lively, fresh tang without bitterness — smooth, creamy and perfectly balanced.
Each cupcake gets coconut in three ways:
- Shredded coconut (processed to a fine texture)
- Coconut milk (well-mixed before measuring)
- Coconut extract (for a boost of flavor)

To incorporate the shredded coconut, process 1/2 cup in a food processor or blender until finely ground, then sift it with the dry ingredients. Shake or stir the coconut milk thoroughly so you use a uniform mixture rather than only the liquid or the solids. A small amount of coconut extract enhances the overall coconut flavor without overpowering the cupcakes.

The lime buttercream is light, fluffy and bright. It’s made by creaming butter with lime zest, then gradually adding sifted powdered sugar and fresh lime juice until you reach the flavor and consistency you prefer. A little whipping cream can be added if needed to achieve a smoother texture. For color, a couple of drops of green food coloring are optional.

I piped the frosting using a 1M Wilton tip for a classic swirl, but a knife or offset spatula works perfectly well if you prefer a simpler finish. For a finishing touch, sprinkle with toasted coconut and garnish with a small lime slice if desired.
These cupcakes are great for summer gatherings, tropical-themed parties, or anytime you want a refreshing twist on a cupcake. The combination of soft coconut cake and tangy lime buttercream is a crowd-pleaser.

Buttery coconut cupcakes plus creamy, airy lime frosting — a delicious pairing you’ll want to make again and again.

Coconut Cupcakes with Lime Buttercream Frosting
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Ingredients
Coconut Cupcakes
- 1/2 cup shredded sweetened coconut
- 1 cup all purpose flour
- 2 teaspoon baking powder
- 1/4 teaspoon salt
- 1/2 cup unsalted butter, room temperature
- 3/4 cup granulated sugar
- 2 large eggs
- 1 teaspoon vanilla extract
- 1/2 teaspoon coconut extract
- 2/3 cup coconut milk, mixed very well*
Lime Buttercream Frosting
- 1/3 cup sweetened shredded coconut, for decorating (optional)
- 3/4 cup unsalted butter, softened to room temperature
- 1.5 tablespoons lime zest
- 3.5-4.5 cup powdered sugar, sifted
- 2 tablespoons lime juice, freshly squeezed
- 1 tablespoon whipping cream, if needed
- 2-3 drops green food coloring, optional
Instructions
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Preheat the oven to 350°F and line a 12-cup muffin pan with paper liners.
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Process 1/2 cup shredded coconut in a food processor or blender until finely ground.
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Whisk together the flour, processed coconut, baking powder and salt in a medium bowl.
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In a large bowl, beat the butter and sugar with an electric mixer until light and fluffy. Beat in the eggs, vanilla and coconut extract.
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With the mixer on low, add the flour mixture, then beat in the coconut milk until combined.
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Spoon batter into liners and bake 15–17 minutes, or until a toothpick inserted into the center comes out clean. Cool completely before frosting.
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If toasting coconut for decoration, spread 1/3 cup shredded coconut in an even layer on a baking sheet and toast at 325°F for 5–10 minutes, watching closely so it doesn’t burn.
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To make the frosting, beat the butter until very fluffy. Add lime zest and gradually beat in the sifted powdered sugar, about 1 cup at a time.
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Beat in lime juice 1 tablespoon at a time until you reach the desired flavor. If needed, add up to 1 tablespoon whipping cream for a smoother texture. Add food coloring if you like.
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Frost cooled cupcakes with a piping bag or a knife, then top with toasted coconut and a small lime slice if desired.
Notes
Nutrition
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