Store two sets of sheets for each bed in the closet.  Save a few sets of older sheets for protecting plants, paint projects, etc. but don’t store them in the linen closet.   Fold towels and sheets so the folded edge shows on the shelf.   Now you might have room on a shelf for your bathroom pantry… purchase an open container for these items so they don’t tip over and fall creating a mess, simply pull down the container and choose the item you need.  Simple.