Step 1Place a rack in the center of the oven and heat the oven to 350 degrees. Generously grease an 8-inch square cake pan and set aside.
Step 2Combine 1/3 cup of sugar with the cinnamon in a small bowl and set aside.
Step 3Stir together the sour cream and soda in a small bowl and set aside.
Step 4Sift together the flour, baking powder and salt and set aside.
Step 5Use a mixer to beat the remaining sugar, oil, eggs and vanilla on medium speed until smooth, 2 minutes. Scrape down the sides of the bowl. On low speed, alternately add the dry ingredients and the sour cream mixture, beginning and ending with the dry ingredients. Mix until smooth. Pour enough batter into the pan to half-fill it. Sprinkle over 2/3 of the cinnamon sugar, then 2/3 of the nuts. Add the remaining batter and smooth the top. Sprinkle with the remaining cinnamon sugar and nuts; press them into the batter.
Step 6Bake the cake until it's browned and a toothpick inserted in the middle comes out clean, 35 to 40 minutes. Cool the cake in the pan on a rack for 20 to 30 minutes, then invert it onto a plate, sugar-side up. Cool the cake to room temperature.
Step 1Combine the powdered sugar, milk and honey and stir until smooth. Pour the glaze over the cake and let it set. (The cake can be kept at room temperature up to three days, covered airtight or frozen, wrapped airtight, up to a month. Bring to room temperature before serving.)