Preheat the oven to 350 degrees F. Grease and line three 6 inch cake pans with parchment paper.

Soak cake strips in ice water.

In the bowl of a stand mixer fitted with a paddle attachment, combine the flour, sugar, baking powder, and salt.

Cut up the butter into small cubes and add to the dry ingredients. Mix on low speed until it resembles wet sand.

Add the oil, coconut sour cream, vanilla, and coconut extract, and mix until just combined.

Fold in the shredded coconut until evenly distributed.

In a separate medium bowl, add the egg whites. Use an electric hand mixer to whip them until medium peaks form.

Gently fold the whipped egg whites into the batter with a rubber spatula until just combined.

Divide the cake batter between the prepared pans. Wrap the cake strips around the outsides of the pans.

Bake for about 25-28 minutes or until the cakes start to pull away from the sides of the pans. Immediately turn the cakes out onto a wire rack to cool completely.

Once cool, wrap the cakes in plastic wrap and leave at room temperature or freeze until ready to decorate. (Frozen cake layers will be much easier to frost!)

In the bowl of a stand mixer fitted with a paddle attachment, beat the butter and cream cheese on high speed until smooth. Slowly add the sifted powdered sugar and mix on low speed until fully combined. Once all of the powdered sugar is added, continue beating on low speed until no more lumps or pockets of air remain and the frosting is smooth.

Secure the first cake layer on the cake stand with a small amount of frosting on the bottom. Using an offset spatula, spread on an even layer of frosting, then place the second cake layer on top.

Spread an even layer (or crumb coat) of frosting along the top and outside of the cake, then place in the fridge for about 10-15 minutes.

Take the cake out of the fridge and spread a thicker layer of frosting on the cake.

Coat the whole cake in shredded coconut. Top with rosemary sprig "trees" and mini candy canes if desired.