01 - Preheat oven to 350°F. Grease and line two 8-inch round cake pans with parchment paper.
02 - Process 7 oz pistachios in a food processor until finely ground. Set aside.
03 - Whisk together flour, baking powder, salt, and ground pistachios in a medium bowl.
04 - Beat butter and sugar in a large bowl until light and fluffy. Add eggs one at a time, mixing well after each addition.
05 - Mix in vanilla extract and lemon zest until incorporated.
06 - Alternately add flour mixture and milk to butter mixture, starting and ending with flour. Mix until just combined.
07 - Gently fold 7 oz raspberries into the batter.
08 - Divide batter evenly between prepared pans. Bake for 40-45 minutes until a toothpick inserted in the center comes out clean. Cool in pans for 10 minutes, then transfer to wire rack to cool completely.
09 - Beat cream cheese and butter until smooth. Gradually add powdered sugar and vanilla, beating until fluffy.
10 - Spread frosting over one cooled cake layer. Top with second layer and frost top and sides completely.
11 - Press chopped pistachios along the bottom edge and top with fresh raspberries.