Spread the coconut out on a large cookie sheet and bake at 325F for 4-5 minutes until golden brown, stirring at least once during the baking time. Tip: watch the coconut very closely so it doesn’t burn. Set the toasted coconut aside to cool.
In a medium mixing bowl, whisk together the flour, baking soda, and salt. Set aside.
In a large mixing bowl, cream together the butter and sugar until light and fluffy. Add the eggs, one at a time, beating the eggs into the batter well between each addition.
Add half of the flour mixture and half of the sour cream and mix well. Add the remaining flour mixture and sour cream, mixing until fully incorporated.
Stir in the crushed pineapple (as much of the juice drained off as possible) and 1 cup of the toasted coconut. Pour the batter into a loaf pan that has been greased with non-stick cooking spray. Top with the remaining toasted coconut.
Bake the bread at 325F for 60-70 minutes, until a toothpick inserted into the center comes out clean.
In a small bowl, combine the powdered sugar and milk. Pour the frosting over top of the bread while it is still slightly warm, but not hot. Cool the bread completely to room temperature, then slice and serve.