In August Tamir had the same problem that I am experiencing for my IDE ver 1.5.3. Almost the same program response (except file location). He sorted it by changing USB ports but that seems cumbersome and not an option on my PC. I cannot upload a new sketch if one is already on board (uploaded). I have to close program and reopen. Can someone suggest a fix?
I recommend you to use the Arduino IDE 1.6.0 instead of the 1.5.3 version. You can download it from this link: http://downloadmirror.intel.com/24783/eng/IntelArduino-1.6.0-Windows.7z http://downloadmirror.intel.com/24783/eng/IntelArduino-1.6.0-Windows.7z
Also, is the board recognized in the Device Manager? Could you post a screenshot of the Device Manager when the board is powered up and the USB Client port is connected to the PC?