In a medium sized coffee cup, add espresso, and caramel sauce, set aside.
Combine half and half, coconut milk and vanilla. Steam until warm using a milk frother, or heat milk, cream in a small saucepan using low heat (do not boil) and whisk until foamy. Set aside for assembly.
To assemble latte, add espresso and a small amount of caramel sauce to mug of choice. Stir to combine.
Next, gently pour frothed milk into mug. Drizzle with remaining caramel sauce and garnish with shaved coconut. Enjoy immediately!