SeeedDuino/Grove and the story of not being able to upload programs
OK mystery solved!

I ended up getting Visual Micro Debugger plug-in for my Visual Studio 2013 since I am native .NET programmer. I could see that the code was indeed loaded onto the board and when I pressed the button it was indeed getting to the line of code for setting the digital LED to HIGH.

It was a very unfortunate case of trying different components and learning I actually had 3 dead LEDs and one bad cable. After getting functioning ones it's all good. :) unlucky me just had 4 bad parts in my kit.

Output from Visual Studio Debugging:

Legend:
line 12 = button state check
line 16 = button pressed turn on LED
line 20 = button not pressed turn off LED

=================OUTPUT====================
14:01:04.372 SeeedDuinoPlayground.ino, line 12  loop() 
14:01:04.372 SeeedDuinoPlayground.ino, line 16  loop() 
14:01:04.481 SeeedDuinoPlayground.ino, line 10
14:01:04.481 SeeedDuinoPlayground.ino, line 12  loop()
14:01:04.592 SeeedDuinoPlayground.ino, line 16  loop()
14:01:04.592 SeeedDuinoPlayground.ino, line 10
14:01:04.696 SeeedDuinoPlayground.ino, line 12  loop()
14:01:04.697 SeeedDuinoPlayground.ino, line 20  loop()
14:01:04.804 SeeedDuinoPlayground.ino, line 10
14:01:04.804 SeeedDuinoPlayground.ino, line 12  loop()
14:01:04.912 SeeedDuinoPlayground.ino, line 20  loop()