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Preheat the oven to 350 degrees F (180 degrees C). Grease a tube cake pan very well with nonstick cooking spray.
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Separate each biscuit into 3 pieces by gently pulling the layers apart. Wrap a slice of banana in each piece of dough. Press to seal and lightly roll each piece into a ball shape.
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Combine sugar, 1/4 cup brown sugar, and cinnamon in a large bowl and mix well. Toss half of dough pieces in cinnamon sugar mixture until very well coated. Place coated pieces in the prepared pan and sprinkle with 1/2 cup chopped walnuts. Repeat with remaining dough pieces and remaining nuts. Sprinkle with up to 2 tablespoons of any leftover cinnamon sugar and discard the rest.
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Set a small saucepan over medium heat; add butter, remaining 3/4 cup brown sugar, and vanilla. Whisk constantly until sugar dissolves and mixture is well combined and slightly thickened; pour syrup evenly over biscuits in the tube pan.
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Bake in the preheated oven until browned and lightly toasted, 38 to 40 minutes.
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Remove from the oven and let stand about 3 minutes, then run a small knife or spatula around the sides of the pan to release any stuck sugar mixture from the edges of the pan. Let stand for 3 to 5 more minutes, then invert monkey bread onto a serving plate.
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