The Technion already has this course (Score 1)

The Technion IIT (Closest thing to MIT we have in Israel) has a course which is essentially what was described: http://webcourse.cs.technion.ac.il/234321 (Much of the informaton will be in Hebrew) The course grade is 50% a project and 50% a final test. The project includes simulated 'client meetings' (with the TAs), building a requirements document (and meeting with the 'client' again to review these requirements), modeling the application in (eww) UML, and implementing it with tests - all of these are given approximately equal weight in grading. Project is submitted in parts, so if there's something wrong with the spec you've devised - you will be corrected so you don't get screwed later on. Project is done in groups of four. Note: I absolutely despised this course.