Preheat the oven to 350 degrees F (175 degrees C). Grease a fluted tube pan (such as Bundt).
Beat sugar, 1 cup plus 2 teaspoon butter, and cream cheese in a mixing bowl until light and fluffy, about 3 minutes. Mix in vanilla and salt until well combined. Add eggs, one at a time, beating thoroughly after each addition.
Gradually add flour, one cup at a time, beating until just incorporated. Fold in muddled strawberries. Pour batter into the prepared pan, then lightly sprinkle vanilla sugar over top.
Bake in the preheated oven until a toothpick inserted into the center comes out clean, about 1 hour.
Remove from the oven and set on a wire rack to cool for 5 to 10 minutes. Invert carefully onto a serving plate or cooling rack and let cool completely.