Combine 1-1/2 cups flour, dry yeast, sugar and salt in a large mixer bowl and stir until blended. Combine water, milk and butter in a microwave-safe bowl. Microwave on HIGH in 15 second increments until very warm but not hot to the touch (120° to 130°F, butter does not need to melt). Add to flour mixture.
Beat on medium speed of electric mixer until well mixed. Gradually add remaining 2-3/4 cups flour, scraping bowl occasionally. Beat on high speed for 2 minutes, scraping bowl occasionally.
Cover with towel and let dough rest in bowl for 10 minutes. Stir batter down with spoon. Beat vigorously with a spoon for about 30 seconds. Pour dough into a greased 9 x 5-inch loaf pan . Cover with towel; let rise in warm place until doubled in size, about 40 minutes.
Bake in preheated 375°F oven for 35 to 45 minutes or until golden brown. Remove from pan and cool on wire rack.