Prepare the Dough (if using pre-made dough, skip this step):

In a large bowl, mix the warm milk, warm water, and yeast. Let sit for 5 minutes until foamy. Add the sugar, melted butter, egg, and salt, and mix. Gradually add the flour, mixing until a dough forms. Knead for 5-7 minutes until smooth. Place in a greased bowl, cover, and let rise for 1 hour, or until doubled in size.

Mix the Coating:

In one bowl, combine the granulated sugar and cinnamon. In another, place the melted butter.

Shape the Dough:

Punch down the risen dough and tear it into small pieces (about 1-inch balls). Dip each ball into the melted butter, then roll in the cinnamon sugar mixture.

Layer in the Pan:

Grease a bundt or tube pan. Layer the coated dough balls in the pan, ensuring an even distribution.

Make the Glaze:

In a saucepan, combine the brown sugar, butter, and heavy cream. Cook over medium heat until melted and smooth. Stir in the vanilla extract. Pour the glaze over the dough in the pan.

Bake:

Preheat the oven to 350°F (175°C). Cover the pan loosely with foil and bake for 25 minutes. Remove the foil and bake for an additional 15-20 minutes, or until golden brown and cooked through.

Cool and Serve:

Allow the monkey bread to cool in the pan for 5-10 minutes before carefully inverting it onto a serving plate. Serve warm for the best gooey texture.