Pre-heat oven to 325°F.
Place 2 cups of the sugar in a heavy saucepan and cook over medium heat, stirring regularly, until caramelized. Pour the caramel into a 9-inch round, 3 to 4-inch deep-pan, turning to coat the bottom and sides. Set aside for 15 minutes.
In a large bowl, mix the milks, eggs, coconut extract, vanilla extract, and salt. Pour the mixture over the caramel. Set in a water bath and cover with foil.
Bake until the center is set, about 1 hour and 40 minutes. Chill for 3 hours or overnight.
Before serving, turn the flan onto a serving plate. Serve as is or spoon coconut syrup over flan (not necessary, 100% optional- syrup just makes it sweeter).
Heat 1 cup of sugar in 1 cup of water over medium-high heat until it dissolves, about 30 seconds, Stir in the coconut flakes.