Warm the water and milk to 110 degrees F
Add the yeast and sugar to activate it
Slowly incorporate the bread flour, mixing well
Add the softened butter
Knead the dough for 8 minutes
Place the dough in a greased bowl and let it proof for 1-2 hours
Punch down the dough, roll it out, and place it in a greased bread pan
Let the dough proof for another 30 minutes
Bake the bread at 350 degrees F for 30-40 minutes