Lisbon sees some of the most reckless driving in all of Portugal. Add to this the notoriously difficult parking situation in the city center and the cramped older quarters, and there's much to be said for not using a car in the capital. Nonetheless, new underground parking lots have been built, parking meters have been installed, and cars parked illegally can be clamped or towed away. Most parking meters are free on weekends, but in areas with nightlife such as the Chiado and Bairro Alto, parking is free on Sunday only (always check the parking signs for days and hours). Underground parking lots are expensive but safer. There is underground parking in Praça Camões, Chiado, Restauradores, Martin Moniz, Praça do Municipio in front of town hall, Avenida Alexandre Herculano, and Parque Eduardo VII. Most hotels in Lisbon have their own garages, but they usually charge guests to park in them. Most of the country's highways originate in Lisbon, including the fast roads west to Estoril (A5/IC15), south to Setúbal (A2/IP1, via the Ponte 25 de Abril), and north to Porto (A1/IP1). Crossing via the spectacular Ponte Vasco da Gama, north of the city center, is an alternative route to Setúbal and provides easier access for the main highways east to Spain.
It's often much cheaper to arrange car rental in conjunction with your airline ticket or by contacting a car company directly before you arrive. But if you've left it until your arrival in Portugal, all the major car-rental companies have offices at the airport and at Santa Apolónia station. In central Lisbon you'll find Avis, Budget, Europcar, and Hertz. Smaller local car-rental companies are also represented in Lisbon; try Autojardim or check with the tourist office for other options.
Autojardim (Rua Luciano Cordeiro 6A. 21/354-9182; 21/846-2916 airport branch).