World of the Dead uses a system which you are describing, and is SMAUG-based. As KaVir mentioned, it is not extremely difficult to do - though careful planning and designing can mean the difference between a bad interface and a cool one. My best suggestion is to use SMAUG(if you want something already existing and easy-to-use) and just take careful handling of your interface and the appearance of your grid/map. PM me if you'd like to take a look at World of the Dead's.
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