In a 2 cup pyrex or other microwave safe vessel, combine milk, water, and honey. Heat slowly in microwave to at least 105 degrees. DO NOT exceed 110 or this will KILL your yeast.
When the liquid temp is correct, whisk in the yeast and let stand for 10 minutes or until "frothy". Add melted butter and "frothy" liquid to flour and combine until there are no dry streaks of flour. Cover with plastic wrap and let rest for 20 minutes so the flour can hydrate. (Autolyse)
After the autolyse, turn out and knead for 8-10 minutes until dough is smooth and elastic. I find that Sara Evans' "Suds in the Bucket" has the PERFECT rhythm ...lol
Place dough-ball in bowl that's coated with vegetable oil. Make sure to roll dough to coat thoroughly. Cover with plastic and let rise in a warm spot until doubled and a finger-poke leaves a 'dimple'.
Preheat oven to 350 degrees, setting one rack at the very bottom and the other in the middle of the oven. Also, set at least 2 cups of water on to boil.
Once dough has risen, punch down and form into loaf. Place in greased 9" loaf pan. Gently press down until dough touches all sides and fills the corners. Cover with a towel and allow to rise until loaf is about 1/2" above top of pan.
Sprinkle loaf with flour using a fine-mesh tea strainer. Slash loaf lengthwise about 1/4" deep. Place on middle rack of preheated oven. Place an empty loaf pan on the bottom rack and pour in boiling water.
Bake until golden brown and the internal temp is 195 degrees on an instant read thermometer. Turn onto a rack and allow to cool for at least 2 hours.