Preheat oven to 350 degrees F.
Line one 18” x 13” sheet cake pan with parchment paper (leave parchment paper slighter higher than the sides of the pan so it’s easier to lift the cake out after). Lightly spray parchment paper with non-stick cooking spray. Set aside for now.
In a medium bowl, whisk together flour, baking powder, baking soda and salt. Set aside.
In a separate large bowl, on high speed beat together the butter and granulated sugar until well combined and lighter in color (about two minutes). Use spatula to scrape down sides of bowl.
Add eggs, vanilla extract and coconut extract into the butter mixture and beat on high until mixture is fluffy and well mixed (about 1 minute). Use a spatula to scrape down the sides of the bowl so all the ingredients are mixed together well.
On low speed, beat the coconut milk and sour cream into the butter mixture just until combined (about 30 seconds). Use a spatula to scrape down the sides of the bowl.
On low speed, beat the dry ingredients into the cake batter just until combined (do not overmix). Use a spatula to scrape down sides and bottom of bowl. Beat until you no longer see streaks of white flour in the mixture and there are no large lumps in the batter. Do not overmix or your cake may not rise properly and will have a gummy texture.
Gently stir (not beat) the shredded coconut into the cake batter.
Pour the batter onto the prepared sheet cake pan and use a spatula to evenly distribute the cake batter in the pan.
Bake in oven for 26 to 27 minutes or until toothpick inserted in middle comes out clean. Remove cake from oven and let cool completely before frosting.