Place coffee beans in a food processor; process 45 seconds or until coffee is coarsely ground and no whole beans remain. Combine coffee and 5 cups cold water in a medium bowl, stirring to combine. Cover and refrigerate 8 hours or overnight.
Combine low-fat milk and condensed milk in a medium saucepan over medium heat. Scrape seeds from vanilla bean; add seeds and bean to milk mixture. Cook 8 minutes or until thoroughly heated (do not simmer), stirring occasionally. Remove from heat; let cool to room temperature. Cover and refrigerate 8 hours or overnight.
Strain coffee mixture through a cheesecloth-lined fine sieve into a bowl. Discard cheesecloth and solids. Pour coffee mixture into a pitcher. (Yield is approximately 3 cups coffee extract.) Remove vanilla bean from milk mixture, and discard. Add milk mixture to coffee mixture just before serving; stir well to combine.