01 - Combine warm milk, warm water, and granulated sugar in a large bowl. Sprinkle yeast over the mixture and let stand for 5–10 minutes until foamy and activated.
02 - Whisk melted butter, eggs, and salt into the yeast mixture. Gradually incorporate flour, mixing until a soft dough forms. Turn onto a floured surface and knead for 8–10 minutes until smooth and elastic.
03 - Place dough in a greased bowl, turning to coat all sides. Cover with plastic wrap and let rise in a warm, draft-free area for 1–1.5 hours until doubled in bulk.
04 - Melt butter in a saucepan over medium heat. Add diced peaches, brown sugar, cornstarch, cinnamon, and nutmeg. Cook, stirring constantly, for 5–7 minutes until peaches soften and sauce thickens. Transfer to a bowl and cool completely.
05 - Combine brown sugar and cinnamon in a small bowl, mixing until evenly blended.
06 - Punch down risen dough and roll out on a lightly floured surface into a 16×12-inch rectangle. Spread softened butter evenly over dough, leaving a 1-inch border. Sprinkle cinnamon sugar mixture over butter, then distribute cooled peach filling on top.
07 - Starting from a long side, roll dough tightly into a log. Use a sharp knife or dental floss to slice into 12 equal pieces. Arrange rolls cut-side up in a greased 9×13-inch baking dish, spacing evenly.
08 - Cover dish with a clean towel and let rolls rise in a warm place for 30–45 minutes until puffy and nearly doubled.
09 - Preheat oven to 350°F. Bake rolls for 25–30 minutes until golden brown and cooked through. Rotate dish halfway through for even browning.
10 - Whisk powdered sugar, milk, vanilla extract, and salt in a small bowl until smooth and drizzling consistency. Add additional milk 1 teaspoon at a time if too thick.
11 - Drizzle warm glaze generously over slightly cooled rolls. Serve immediately while still warm for best texture and flavor.