Cake: In a large bowl, combine flour, sugar and cinnamon; cut in butter until mixture resembles coarse crumbs. Remove 1/2 cups/125 mL of crumbs for topping. To remaining crumb mixture add baking powder, baking soda, salt, sour cream, egg and vanilla extract; blend well. Spread batter over bottom of 8 x 8-inch/20 x 20-cm baking pan.
Filling: In a small bowl, combine cream cheese, sugar and eggs; blend well. Pour over batter in pan. Carefully spoon preserves evenly over filling. Sprinkle 1 cup of reserved crumbs over preserves. Bake before adding glaze.
Glaze: combine powdered sugar, water and vanilla, drizzle on top of coffee cake.
Bake at 350ºF/180ºC for 45 to 50 minutes. Serve warm or cold.