diff --git a/pkg/controller/template/render.go b/pkg/controller/template/render.go
index f3726ea351..f21981c36c 100644
--- a/pkg/controller/template/render.go
+++ b/pkg/controller/template/render.go
@@ -42,14 +42,15 @@ type RenderConfig struct {
 }
 
 const (
-	filesDir       = "files"
-	unitsDir       = "units"
-	platformBase   = "_base"
-	platformOnPrem = "on-prem"
-	sno            = "sno"
-	masterRole     = "master"
-	workerRole     = "worker"
-	arbiterRole    = "arbiter"
+	filesDir            = "files"
+	unitsDir            = "units"
+	platformBase        = "_base"
+	platformOnPrem      = "on-prem"
+	sno                 = "sno"
+	masterRole          = "master"
+	workerRole          = "worker"
+	arbiterRole         = "arbiter"
+	cloudPlatformAltDNS = "cloud-platform-alt-dns"
 )
 
 // generateTemplateMachineConfigs returns MachineConfig objects from the templateDir and a config object
@@ -222,6 +223,12 @@ func getPaths(config *RenderConfig, platformString string) []string {
 		platformBasedPaths = append(platformBasedPaths, platformOnPrem)
 	}
 
+	// If this is a cloud platform with DNSType set to `ClusterHosted` with
+	// LB IPs provided, include path for their CoreDNS files
+	if cloudPlatformLoadBalancerIPState(*config) == availableLBIPState {
+		platformBasedPaths = append(platformBasedPaths, cloudPlatformAltDNS)
+	}
+
 	// specific platform should be the last one in order
 	// to override on-prem files in case needed
 	platformBasedPaths = append(platformBasedPaths, platformString)
diff --git a/pkg/controller/template/render_test.go b/pkg/controller/template/render_test.go
index db2e9d0af3..022d9d4ea2 100644
--- a/pkg/controller/template/render_test.go
+++ b/pkg/controller/template/render_test.go
@@ -216,6 +216,7 @@ var (
 		"nutanix":                "./test_data/controller_config_nutanix.yaml",
 		"network-forwarding-sdn": "./test_data/controller_config_forwarding_sdn.yaml",
 		"network-forwarding-ovn": "./test_data/controller_config_forwarding_ovn.yaml",
+		"gcp-custom-dns":         "./test_data/controller_config_gcp_custom_dns.yaml",
 	}
 )
 
@@ -359,6 +360,11 @@ func TestGenerateMachineConfigs(t *testing.T) {
 }
 
 func TestGetPaths(t *testing.T) {
+	APIIntLBIP := configv1.IP("10.10.10.4")
+	APILBIP := configv1.IP("196.78.125.4")
+	IngressLBIP1 := configv1.IP("196.78.125.5")
+	IngressLBIP2 := configv1.IP("10.10.10.5")
+
 	cases := []struct {
 		platform configv1.PlatformType
 		topology configv1.TopologyMode
@@ -372,6 +378,11 @@ func TestGetPaths(t *testing.T) {
 		res:      []string{strings.ToLower(string(configv1.BareMetalPlatformType)), "on-prem"},
 		topology: configv1.HighlyAvailableTopologyMode,
 	}, {
+		platform: configv1.GCPPlatformType,
+		res:      []string{strings.ToLower(string(configv1.GCPPlatformType))},
+		topology: configv1.HighlyAvailableTopologyMode,
+	}, {
+
 		platform: configv1.NonePlatformType,
 		res:      []string{strings.ToLower(string(configv1.NonePlatformType)), sno},
 		topology: configv1.SingleReplicaTopologyMode,
@@ -392,6 +403,38 @@ func TestGetPaths(t *testing.T) {
 					},
 				},
 			}
+			if c.platform == configv1.GCPPlatformType {
+				config = &mcfgv1.ControllerConfig{
+					Spec: mcfgv1.ControllerConfigSpec{
+						Infra: &configv1.Infrastructure{
+							Status: configv1.InfrastructureStatus{
+								Platform: c.platform,
+								PlatformStatus: &configv1.PlatformStatus{
+									Type: c.platform,
+									GCP: &configv1.GCPPlatformStatus{
+										CloudLoadBalancerConfig: &configv1.CloudLoadBalancerConfig{
+											DNSType: configv1.ClusterHostedDNSType,
+											ClusterHosted: &configv1.CloudLoadBalancerIPs{
+												APIIntLoadBalancerIPs: []configv1.IP{
+													APIIntLBIP,
+												},
+												APILoadBalancerIPs: []configv1.IP{
+													APILBIP,
+												},
+												IngressLoadBalancerIPs: []configv1.IP{
+													IngressLBIP1,
+													IngressLBIP2,
+												},
+											},
+										},
+									},
+								},
+								ControlPlaneTopology: c.topology,
+							},
+						},
+					},
+				}
+			}
 			c.res = append(c.res, platformBase)
 
 			got := getPaths(&RenderConfig{&config.Spec, `{"dummy":"dummy"}`, "dummy", nil, nil}, config.Spec.Platform)
diff --git a/templates/common/cloud-platform-alt-dns/files/coredns-corefile.yaml b/templates/common/cloud-platform-alt-dns/files/coredns-corefile.yaml
index 7d90a7d3fe..2551b16537 100644
--- a/templates/common/cloud-platform-alt-dns/files/coredns-corefile.yaml
+++ b/templates/common/cloud-platform-alt-dns/files/coredns-corefile.yaml
@@ -23,12 +23,12 @@ contents:
         }
         template IN {{`{{ .Cluster.CloudLBRecordType }}`}} {{ .DNS.Spec.BaseDomain }} {
             match ^api.{{ .DNS.Spec.BaseDomain }}
-            answer "{{`{{"{{ .Name }}"}}`}} 60 in {{`{{"{{ .Type }}"}}`}} {{ if gt (len (cloudPlatformAPILoadBalancerIPs .)) 0 }}{{ index (cloudPlatformAPILoadBalancerIPs) 0 }}{{ end }}"
+            answer "{{`{{"{{ .Name }}"}}`}} 60 in {{`{{"{{ .Type }}"}}`}} {{ if gt (len (cloudPlatformAPILoadBalancerIPs .)) 0 }}{{ index (cloudPlatformAPILoadBalancerIPs .) 0 }}{{ end }}"
             fallthrough
         }
         template IN {{`{{ .Cluster.CloudLBEmptyType }}`}} {{ .DNS.Spec.BaseDomain }} {
             match ^api.{{ .DNS.Spec.BaseDomain }}
-            {{ if gt (len (cloudPlatformAPILoadBalancerIPs .)) 1 }}answer "{{`{{"{{ .Name }}"}}`}} 60 in {{`{{"{{ .Type }}"}}`}} {{ index (cloudPlatformAPILoadBalancerIPs) 1 }}"{{ end }}
+            {{ if gt (len (cloudPlatformAPILoadBalancerIPs .)) 1 }}answer "{{`{{"{{ .Name }}"}}`}} 60 in {{`{{"{{ .Type }}"}}`}} {{ index (cloudPlatformAPILoadBalancerIPs .) 1 }}"{{ end }}
             fallthrough
         }
         template IN {{`{{ .Cluster.CloudLBRecordType }}`}} {{ .DNS.Spec.BaseDomain }} {