Combine milk and water and heat in the microwave (or on the stovetop) until it reaches a temperature between 105-115F (40-46C). Make sure to stir the liquid before measuring the temperature to make sure it is heated evenly.

Pour warm milk/water mixture into a large bowl or the bowl of a stand mixer. Add yeast and 1 teaspoon of granulated sugar and stir to combine. Allow to sit for about 5 minutes, until yeast is foamy (if yeast does not foam there is something wrong with it, it is likely dead. You will have to throw this out and start over).

Once yeast is foamy, add remaining 2 Tablespoons granulated sugar, salt, butter, and 2 cups (250g) of your flour mixture. Stir well until completely combined (the butter may not be completely combined at this point but as you add more flour it should mix into the dough completely).

Gradually add additional flour, stirring well after each addition (if you are using a stand mixer, stir on low-speed with a dough hook attachment), until dough clings together and forms a ball that pulls away from the side of the bowl. Dough should be slightly tacky to the touch but should not be sticky.

Transfer to a clean surface and knead for about 5-10 minutes until dough is smooth and elastic (or continue to stir with mixer on low-speed with dough hook until smooth and elastic, about 3-5 minutes).

Transfer dough to a lightly oiled bowl, turn dough to coat the surface lightly with oil, cover and allow to rise in a warm place until doubled in size (about 1-2 hours).

Once dough has doubled, transfer to a clean, lightly floured surface and use your hands to deflate the dough. Use lightly floured hands or a lightly floured rolling pin to form into an 8x12” rectangle. Starting with one 8” end, roll dough tightly into a log. Pinch the seam to seal the log and tuck the ends of the dough under to form a loaf (see my video below the recipe for a visual).

Transfer to a lightly greased (I use shortening) 9x5” bread pan. If desired, use a serrated knife to score the bread lengthwise across the top. Cover with a clean towel and allow to rise in a warm, draft-free place until doubled in size and loaf has risen about .5-1” above the edge of the loaf pan. While dough is rising, preheat your oven to 400F (200C).

Once dough has risen and oven is preheated, uncover loaf and transfer to 400F (200C) oven and bake for 25 minutes or until loaf is golden brown and sounds hollow when tapped.

Immediately invert onto a cooling rack. Allow to cool a bit before slicing and serving.