01 - In a large mixing bowl, whisk together all-purpose flour, granulated sugar, active dry yeast, and salt.
02 - In a small saucepan or microwave-safe container, heat whole milk, water, and unsalted butter until just warm. Add to the dry mixture along with the egg.
03 - Knead the mixture by hand or with a stand mixer fitted with a dough hook on medium speed for 6 to 8 minutes until smooth and slightly tacky.
04 - Transfer dough to a lightly greased bowl, cover with a towel or plastic wrap, and allow to rise in a warm area until doubled in bulk, about 1 hour.
05 - In a medium bowl, beat softened cream cheese with granulated sugar and almond extract until fully blended. Fold in finely chopped almonds.
06 - Punch down the dough and, on a floured surface, roll into a rectangle approximately 16 by 10 inches.
07 - Evenly distribute the cream cheese mixture over the rolled dough.
08 - Starting from the long edge, roll the dough tightly into a log. Slice into 12 equal portions.
09 - Place rolls into a greased 9 by 13 inch baking dish. Cover and let rise for 30 minutes.
10 - Preheat oven to 350°F. Bake rolls for 22 to 25 minutes until golden brown. Allow to cool slightly in the pan.
11 - Whisk together powdered sugar, milk, and almond extract until smooth.
12 - Drizzle glaze over warm rolls and finish with toasted sliced almonds before serving.