Place yeast, milk and sugar in a small bowl. Stir to combine. Set aside for about 10-15 minutes or until foamy and bubbly.

Meanwhile, place flour, ¼ cup sugar and salt in the mixing bowl of the stand mixer. Using a wooden spoon, stir to combine.

Add egg, vanilla extract, butter and yeast mixture.

With the dough hook attachment on an electric stand mixer, knead for 5 minutes (or knead by hand for 15 minutes).

Transfer the dough to an oiled bowl and place in a warm spot to rise, for about 1-2 hours or until double in size. (You can also let the dough rise in the refrigerator overnight, for about 8 hours).

Dust the work surface and rolling pin lightly with flour. Punch down and turn the dough onto the work surface.

Roll the dough out into a rectangle with ½ cm thickness.

Spread with the sugar-cinnamon mixture.

Starting from the long edge, roll the dough into a tight spiral. Pinch the spiral closed.

Using a serrated knife or dental floss (for the perfect cut), cut into 9 equal sized rolls.

Transfer into a 9x13 inch baking dish. Cover with plastic wrap.

Place in a warm spot and let them rise for 45 minutes to 1 hour or until double in size and the rolls are touching each other.

Preheat oven to 180 C / 350 F. Bake for 25 minutes or until the rolls are golden on top and puffy.

To make the frosting, use an electric mixer to beat cream cheese, sugar, butter, and vanilla extract.

Frost the cinnamon rolls generously with the frosting. Serve warm.