Why start with a graded papers when it is rarely used today?
Exactly. Doesn't sound very reasonable to me.
I'd frankly start with whatever enlarger(s) happen to be available, regardless if they're condenser or diffusor, color or B&W. There's always a way to do variable contrast.
I'd definitely start with the basics; i.e. get the students to print at a single grade (around 2-3) and let them reflect on the outcome. first make them familiar with the effect of exposure; i.e. have them make test strips and some full prints and teach them to recognize an over- or underexposed print. Also let them figure out why even their best exposed print still looks like crap, and use that to teach them about contrast, and have them make prints at several grades from the same negative.
At this point, they have a basis in the sense that they should be able to make a print from any given negative with the entire range from full black to paper white. You can then take it whichever way you'd like. I'd probably start by teaching them about burning at this point. Others might prefer taking them into a split-grade printing direction. Yet others might want to introduce them to flashing, or perhaps even Sabattier/solarization, chemical modifiers (selective bleaching, toning etc.)...
Whether you teach them to think in terms of stops (i.e. f-stop printing) or seconds ('old-skool' printing) - YMMV. Either way, they'll figure out (with your help!) in the process of making test strips that density is logarithmic. I'd personally teach them seconds instead of f-stop printing if only because most existing timers out there are seconds-based, so it would teach them an approach that's most likely to work with an enlarger they might end up owning themselves. I'd probably relegate mention of f-stop printing to a side note and only go into it in the margins of the class with those who express interest in it.
And f-stop printing seems to me to be a much more logical choice for photographer.
It's a matter of personal preference, too. You'll find a couple of threads about this where people still split out pretty much evenly into either side. F-stop printing is the most logical choice if you prefer it. If you don't prefer it, it's awkward and unnecessarily complicated. And then again, someone used to f-stop printing will argue the exact opposite...I wouldn't assume an absolute, objective superiority of either system at this point. Having said that, you don't really get around teaching people about the concept of a "stop" at some point, so either way, the smart students will end up realizing it's just two different ways of ending up with the same result. There will also be students who are more pragmatic and/or prefer to be taught a certain, set way that they can reproduce without having to understand/think too much, and for them, it doesn't really matter which way you choose to teach them, as long as you're clear in the steps they need to go through.
I think the main challenge is really to adjust the pace and direction of your course to the abilities and interests of the students. The first 2 or 3 sessions you may be able to fix ahead of time because you'll have to cover some basics. Beyond that point, I'd try to be flexible and accommodate the class as much as possible. This will make them learn more effectively as well as help them keep motivated.
Just my $0.02; YMMV, to each their own and always consider alternative (opposing) views!