I am another fan of storing my sheet sets and doona cover sets in their respective pillowcases. The fitted sheet, flat shet and one of the pillowcases are all folded and then stored in the other pillow case. I then have a shelf for the doona sets, and another for the sheet sets.

Blankets, elec blankets are all stored on the top shelf.. Overnight bags etc are all stored in the bottom of the linen closet.

Towels / face washers etc are all stored in a seperate linen cupboard in the laundry which you need to go through to get to the bathroom anyway..