Creamy coconut flan with a caramel top brings tropical flavor to a Mexican classic. This family-friendly dessert is a silky, sweet, coconut-lover's dream.
Preheat oven to 350°F (175°C). Place a 9-inch round cake pan inside a larger roasting pan for water bath baking.
In a small saucepan over medium heat, melt the granulated sugar until golden and caramelized, swirling pan but not stirring, for 6-8 minutes. Immediately pour the caramel into the cake pan, tilting to evenly coat the bottom.
In a large bowl, whisk eggs until blended, then add sweetened condensed milk, coconut milk, shredded coconut, vanilla extract, and salt. Whisk until completely smooth.
Pour the coconut mixture gently over the set caramel layer in the cake pan to avoid mixing the layers.
Fill the roasting pan with hot water until it reaches halfway up the outside of the cake pan. Bake flan for 50-60 minutes, or until the center is just barely set with a slight jiggle.
Remove pan from water bath and let cool on a rack. Refrigerate at least 4 hours or overnight before unmolding. To serve, run a knife around the edge, invert onto serving plate so caramel coats top.